THE construction industry faces being plunged into a fresh crisis amid fears the uncertainty brought by Brexit and the prospect of a second vote on Scottish independence will pull the plug on funding for projects.

A senior figure at accountancy firm Grant Thornton in Scotland has warned the current political impasse, alongside “growing nervousness” from overseas investors, presents a major threat to investment in the sector.

James Andersen, the firm’s property and construction specialist, fears the uncertainty over the UK’s exit from the European Union and Scotland’s constitutional future risks derailing the recovery the construction industry has staged following the global financial crash of 2008 and 2009. His firm is calling for greater consultation from political leaders amid fears vital contracts and international funding for projects could be lost.

Mr Andersen said: “For some time now, Grant Thornton has been warning that the property and construction sector needs as much support as possible if it’s to continue growing sustainably.

“The recent business rates changes, combined with a raft of sweeping tax reforms, and the ongoing skills shortage has created a toxic mix and, quite simply, there is now no room for complacency. Scotland’s property and construction sector contributes billions to the economy and plays a vital role in skilled employment. Public and private sector leaders need to start a dialogue immediately and explore how greater collaboration and a joined-up strategy focused on growth can enable the industry to thrive in the medium to long term.”