Despite the Government promising to deliver 200,000 new homes by 2020, our latest UK Construction Market Survey has revealed that growth in the private housing sector slowed down considerably during the first quarter of 2016.
At a glance:
- Despite Government commitments to sector, UK construction market looks set to slow
- Slowdown in rate of construction workload-growth over past three months
- Private housing sector hit hard as workloads rise at the slowest pace since 2013
- Growth waning despite Government committing to new infrastructure and building programmes
Private housing workloads rose at their slowest pace since Q2 2013, with only 36% more of those working in the sector reported a rise in growth rather than a fall over the first quarter of 2016. During the first quarter of 2015 that figure was close to 50%.
Across all sectors, our UK Construction Market Survey shows that while 33% more respondents saw workloads rise rather than fall during the last quarter of 2015, this figure dropped by five per cent over the past three months.
Confidence in the outlook for the sector also dropped with the number of construction professionals saying that they expected to see workloads rise over the next 12 month outweighing those expecting a fall by 55%. This is a considerable decrease on expectations from this time last year when 79% more respondents expected to see workloads rise.
Meanwhile, following 4% employment growth in 2015, respondents foresee headcounts continuing to rise over the coming 12 months with a net balance of 41% expecting growth, and a rise of 2% forecast, on average.