Growth in construction output is to fall over the next three years, according to new figures from the Construction Products Association. The organisation’s Construction Industry Forecast sees growth in the industry to slump from 5·1% in 2003 to just 0·8% in 2005.

Infrastructure work is predicted to slow most considerably, with a depreciation of -3·1% in the amount of work carried out compared to that undertaken in 2004. New housing output will rise 7·5% from that of 2004 but this is a drop of nearly 7% on the year on year increases of 2003-2004.

Forecast commercial work output is predicted to hover at yearly increases of between only 2·2% and 4·2% for 2005 to 2007.

Commenting on the forecasts, Construction Products Association chief executive, Michael Ankers said: “After ten years of continuous growth in construction output, prospects for the industry over the next three years are less rosy, with growth slowing in 2005 to just 0·8%. Although we remain confident that the industry will avoid recession, this is critically dependent on government continuing to deliver its proposed investment programme in the built environment.”

Source

Electrical and Mechanical Contractor