Office work uplift returns construction output to growthConstruction output returned to 1.7% growth in March after sliding during the storms in February.
It is the first time private commercial work has emerged as a growth driver since the pandemic, recording a 4% rise in March.
Private housing repair and maintenance also saw strong growth up nearly 6%
British Land expects tender price inflation to hit 10%Leading client British Land is expected construction cost to rise 10% this year before dropping to around half that the following two years.
British Land said ‘Our inflation forecast (based on tender price inflation) has increased to around 8-10% in 2022 from our previous forecast of 4.5%, but we expect that to moderate over the next 18 months as wages and commodity prices remain elevated but do not increase at the same rate’
Summer slowdown fears as contract award data droopsContract awards and planning approvals in April were well below those seen in March according to the latest Snap Analysis from Barbour ABI.
After stellar performance for contract awards in March, activity was always likely to fall in April due to the Easter holidays and a new financial year, coupled with the high inherent volatility of the index.
Contract awards in April were at their lowest level since August 2021 and were down 33% on the previous month.
HS2 workforce surges to 25,000 jobs milestoneHS2’s workforce increased by more than 2,000 in the last quarter, with the construction of Britain’s new railway now supporting a record 24,800 jobs.
Hs2’s latest reporting figures also show it has smashed the 900 new apprentice starts milestone, just 20 months since full construction works began on first phase of the project
Sources
Office work uplift returns construction output to growth | Construction Enquirer News
British Land expects tender price inflation to hit 10% | Construction Enquirer News
Summer slowdown fears as latest contract award data droops | Construction Enquirer News
HS2 workforce surges to 25,000 jobs milestone | Construction Enquirer News
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