Battling red tape and increasing sales turnover are the major concerns for UK construction owners and managers as they look ahead to 2007, according to new research from Bibby Financial Services. Whilst seven in 10 (71%) entrepreneurs in the construction industry are worried about how they will increase their sales turnover in 2007, 68% are still concerned about simply maintaining their current level of turnover. With over two thirds (65%) predicting they will struggle to cope with the effects of late payment.

The ongoing pressure of Government red tape still remains a major burden, with nearly three quarters (73%) reporting it as one of their biggest hurdles to overcome in the year ahead.

Finding new markets for products and services (54%) and coping with increased competition (33%) are also set to prove a challenge for construction owners trying to make it in an increasingly competitive environment.

Nearly six in 10 (57%) are worried about finding skilled employees to cope with new contract wins and (41%) are concerned about obtaining sound and practical business advice in the year ahead.

David Robertson, chief executive of Bibby Financial Services, said: 'Red tape has long been a frustration for the construction industry and recent research from the Federation of Small Businesses backs up our findings revealing that keeping up with the ever changing legislative landscape still remains a burden for many construction firms as the end of the year approaches.

'And while it is encouraging that construction companies are thinking about ways to increase their businesses turnover next year, it is vital that they make sure they are using all the resources available to them.