UKEF provided £1.1bn support to the construction sector in 2022-23

UK Export Finance (UKEF) has published its annual results for 2022-23, which show the government’s export credit agency provided £1.1bn in new, direct support for UK construction exporters in the last 12 months.

The financing assists businesses’ working capital needs and unlocks global exporting opportunities whilst supporting up to 5,000 jobs in the sector – a 25% increase on last year’s figures.

Overall, UKEF provided £6.5bn in new direct support to UK exporters in 2022-23. The financing, provided through loans, guarantees and insurance policies, has supported up to 55,000 domestic jobs and added £4.1bn (Gross Value Added) to the UK economy, in what has been a turbulent year for the sector and markets globally. 

Lord Offord, Minister for Exports, said: “The construction sector has encountered many challenges over the last year in the face of world-wide economic turbulence. 

“I am proud to see UKEF play its part in helping firms in this hugely important sector to capitalise on export growth opportunities which are bringing innovative British products and services to countries across the globe.”

UKEF is now supporting more SMEs than at any time in the last 30 years – 84% of firms directly supported with a UKEF product were small and medium-sized businesses, while 82% are located outside of London. 

UKEF provides financing support to businesses wishing to export, helping them to seek and win contracts by providing attractive financing terms to their buyers. The agency also helps them to fulfil export contracts by supporting working capital loans and contract bonds, and provides insurance against buyer default to ensure that exporters get paid for deals.

One business in the construction sector which UKEF helped is ASGC UK. After UKEF provided £130m support for construction of a new specialist burns hospital in Angola, ASGC UK won a management contract to oversee the build – around 40% of which is expected to be delivered by UK firms supplying building materials, electrical equipment, medical supplies and more. 

UKEF’s mission is to advance prosperity by ensuring no viable UK export fails for lack of finance or insurance. The export credit agency helps companies to seek and secure support working in collaboration with the UK’s private sector, allowing them to realise their ambitions for international growth, support UK jobs and increase the nation’s exporting capacity. 

UKEF has also launched a new business-friendly website to make it easier for firms of all sizes to find out more about its services on offer, and to access the finance they need to grow.