Construction starts tumble 11% in a year
The underlying value of construction projects starting on site is 11 per cent below this time last year – according to fresh research
The data covering the three months to September from industry monitor Glenigan follows last week’s revised, official statistics showing construction work plummeted to its lowest level since 1980 in the second quarter of 2012 (AJ 27.09.2012).
The Glenigan report points to a 25 per cent year on year drop in non-residential construction project starts and 38 per cent decline for the retail sector.
Glenigan economics director Allan Wilén said: ‘The only sector that showed significant positive signs was residential which continues to outperform as private sector homebuilders bring forward new sites in anticipation of improved market conditions going into the New Year.’
Private residential projects however remained strong with starts up 30 per cent year on year.
Wilén added: ‘In contrast the index of social housing starts for September was 5% down on a year ago as housing associations have reshaped their development programmes in response to reduced government funding. Overall residential starts were up 15% year on year for the three months to September’.
Civil engineering starts were meanwhile down 14 per cent annually for the three months to September.
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