Own-account design

Earlier reported estimates of investment in own-account (in-house) architecture and engineering design in European Union member states have been updated.

Own-account AED

The consulting engineering industry activities include architecture and engineering design (AED). National Accounts generally do not include own-account AED investment carried out in-house by both the market and non-market sectors.

Non-market sector own-account AED (OA AED) investment is very small and can be ignored (Corrado, et al., 2017). Market sector OA AED investment however is significant.

The consulting engineering industry demand generated by OA AED as a percentage of Construction GFCF (Gross Fixed Capital Formation) is:

  • UK: 1.0
  • FR: less than 2.1
  • NL: 2.2
  • SE: 2.5

An approximate average of 2% of Construction GFCF is used for the FIDIC-EFCA Survey.

Details summarised below give estimates of OA AED (the OECD listed sources in 2013 PDF). They are: Australia (Barnes, 2010); France (Delbecque and Bounfour, 2012; Delbecque et al., 2012); Germany (Crass et al., 2010); Netherlands (van Rooijen-Horsten et al., 2008); Sweden (Edquist, 2011); United Kingdom (Gil and Haskel, 2008; Haskel et al., 2011), Japan (Chun et al., 2012); Korea (Chun et al., 2012).

UK

The spending on OA AED in 2009 was 59.3% in activities which are supplied by the consulting engineering industry (namely mining, manufacturing, utilities, construction, and transport, storage and communications) for bEUR 2.772 (Haskel & Pesole, 2011) which is assumed to correspond to a GFCF investment of bEUR 1.386. Total purchased and OA AED amounted to bEUR 16.836 (Goodridge et al., 2014) in 2009.

INTAN Nominal Investment reports that purchased AED GFCF was bEUR 16.114 in 2009. Scaling the CE-relevant OA AED to match gives bEUR 1.446 (0.99% of Construction GFCF) for OA AED.

FRANCE

The AED GFCF for all industries was bEUR 12.25 in 2004, of which at least 64% (bEUR 7.84) is purchased AED and at most bEUR 4.41 is purchased AED. The OAE AED demand therefore arises for an investment of at most bEUR 2.646 (1.34% of Construction GFCF) assuming that, like the UK in 2009, 60% of the OA AED is for designs in activities which can be supplied by the consulting engineering industry, i.e., are "CE-relevant" (Delbecque et al., 2012).

INTAN Nominal Investment reports that purchased AED GFCF was bEUR 17.282 in 2004. Clearly, as reported, the bEUR 12.25 already includes a substantial amount of OA AED. Scaling the CE-relevant OA AED to match gives an upper limit of bEUR 4.13 (2.09% of Construction GFCF) for OA AED.

NETHERLANDS

The AED GFCF for all industries was bEUR 4.5 in 2004, 36% (bEUR 1.62) of which is OA AED and bEUR 2.88 is purchased AED. The OAE AED demand therefore arises for an investment of bEUR 0.972 (1.66% of Construction GFCF) assuming that, like the UK in 2009, 60% of the OA AED is for designs in activities which can be supplied by the consulting engineering industry (van Rooijen-Horsten et al. , 2008) ).

INTAN Nominal Investment reports that purchased AED GFCF was bEUR 3.892 in 2004. Scaling the CE-relevant OA AED to match gives bEUR 2.19 (2.24 % of Construction GFCF) for OA AED.

SWEDEN

The AED GFCF for all industries was bEUR 3.1 in 2004, bEUR 0.8 (25.9%) of which is OA AED and bEUR 2.3 is purchased AED. The OAE AED demand therefore arises for an investment of bEUR 0.48 (1.92% of Construction GFCF) assuming that, like the UK in 2009, 60% of the OA AED is for designs in activities which can be supplied by the consulting engineering industry (Delbecque et al. , 2008) ).

INTAN Nominal Investment reports that purchased AED GFCF was bEUR 3.010 in 2004. Scaling the CE-relevant OA AED to match gives bEUR 1.05 (2.51% of Construction GFCF).

Updated February 2019