Tag Archives: construction industry

Construction in the UK set for 7% increase

Figures released on Monday by Glenigan, the construction intelligence providers, forecast a 7.4% increase in project starts during 2014, as rising private sector investment and improved consumer confidence underpin further industry growth.

Construction in the UK set for 7% increase

According to the 2014 Mid-Year Construction Review and Forecast put together by Glenigan’s economics team, there is an indication that construction activity upturn is gathering momentum with growth estimated to be only 4% at the beginning of 2014 we are now seeing that the latest figures show a 7.4% increase.

A 10% rise in the value of projects was recorded by Glenigan starting on site during the first half of 2014, primarily driven by increases in private housing, industrial and commercial building projects.

Work volumes will continue to pick up across these sectors through the latter half of the year, with private housing set to rise by 14% and 28% growth predicted for industrial projects. The value of underlying office project starts is forecast to rise by 9%, building on the strong recovery seen over the last two years.

Commenting on the construction outlook, Allan Wilén, Economics Director at Glenigan, said:

“The industry’s forward pipeline points to sustained output growth during the second half of the year and into 2015. Renewed consumer confidence and the accompanying revival in the general housing market have emerged as key growth drivers for both construction activity and the wider economy.” Continue reading

Strong start to second quarter for the construction industry

According to a recent report the latest figures from the ONS show that the construction sector in the UK grew by 1.2% between March and April 2014.

shutterstock_132892679

The figures have been compared with output levels from April last year and show an increase of 4.6%; it is therefore further evidence of the improving performance of the sector and its impact on wider economic growth.

It is clear that the housing sector is the main component of growth within the industry; private housing has increased by 2.5% between March and April 2014 and 16.6% from the corresponding month in 2013. At the same time public housing, which is down from March, was 26.3% higher than last year.

The private commercial sector fell by 0.9% between March and April; however it is 1.0% higher than April last year. Infrastructure has also increase by 0.6% month on month; however it is still 7.6% lower than April 2013.

These figures highlight that the growth patterns within the industry are reliant on housing and broader improvements are needed to ensure a robust recovery. Continue reading