THE RIBA Future Trends Workload Index for June 2011 is +4, a slight increase from +2 in May 2011, suggesting little overall change in confidence levels this month but remaining in positive territory.

Small practices (one–10 staff) see the best short term growth prospects in the housing sector, whilst larger practices (51+ staff) predict growth in the next quarter to come mainly from the commercial sector. Medium-sized practices (10-50 staff) see their future growth being in both the housing and commercial markets.

No practice size category currently perceives immediate growth opportunities in the community and public sectors.

Our practices report that 59% of their current workload involves conservation, refurbishment or adaptive re-use of existing buildings – this illustrates the significant role that work to existing buildings plays in the market for architectural services.

In their anecdotal comments, our practices continue to report intense economic pressure, resulting in a very competitive fee environment and evidence of reduced levels of specification for many of those projects which are progressing.

Uncertainty of funding in the public sector remains a significant concern. Some conservation specialists noted the negative impact of the changes to the Listed Places of Worship Grant Scheme, which means that VAT can no longer be re-claimed in relation to professional fees on these projects.

A number of smaller practices cited the importance of detailed knowledge of local markets and local reputation in maintaining workflows. Some larger practices commented on an increase in the requirements for building information modelling (BIM) capability as a pre-qualification criterion on larger projects.'

ADRIAN DOBSON is director of practice at the Royal Institute of British Architects (RIBA). For more on June’s Future Trends Survey, visit www.architecture.com