Survey shows construction industry growth despite Brexit fears

  • 7 Nov 2016

howardchapmanHoward Chapman, Buildingtalk Editor on the latest Construction Trade Survey survey that reports the 14th consecutive quarter of industry growth but growing fears about rising material costs and recruitment difficulties.

Construction Trade Survey 

The latest Construction Trade Survey from The Construction Product Association reports industry growth in Q3 for the 14th consecutive quarter with an increase in activity for building contractors, SMEs, specialist contractors, civil engineers and product manufacturers.

Building contractors output growth

A third of main building contractors report an increase in construction output compared to last year. This mainly reflects an increase in private housing orders offsetting a reported decrease in other sectors. Recruitment also continues to be a concern with 54% of main contractors reported difficulties recruiting bricklayers, 47% for carpenters and 43% for plasterers.

Wages and imported raw materials

However, there are concerns for the medium term with rise in wage and imported raw materials costs creating inflationary pressures. 59% of civil engineers contractors reporting increased costs, and 66% of main contractors reported raw materials cost rises.

Post EU referendum growth

Rebecca Larkin, Senior Economist at the CPA, reported that the entire construction supply chain reported favourable conditions and growth in activity in Q3 following the EU referendum.
Marie-Claude Hemming, Head of External Affairs at CECA said the infrastructure sector will help drive growth in the UK economy and she welcomed the recent Government decisions to commit to large infrastructure projects at Heathrow and Hinkley Point. 

Construction Products Association

The Construction Products Association represents UK manufacturers & suppliers of construction products.

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