Latest construction forecasts suggest there is more to fear than hope for

Latest construction forecasts suggest there is more to fear than hope for

The latest round of forecasting by construction experts paints a picture little changed from three months ago with little hope of significant growth, much uncertainty and the risks to growth heavily weighted on the down side. The general pattern they expect can be seen from the graph (right). It shows that after the biggest recorded annual fall since comparable records began in 1955 the forecasters expect a continued slide this year. There is some variation in views on this, with…

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It’s a double-dip recession for construction, if the statisticians’ first stab at growth is right

It’s a double-dip recession for construction, if the statisticians’ first stab at growth is right

Construction has fallen into a double-dip recession – that is if the preliminary estimates by the statisticians putting together the first quarter 2010 gross domestic product figures are to be believed. The preliminary GDP figures put growth at a pallid 0.2% for the economy as a whole. This low level of growth will be a huge worry for construction if the figure is not revised upward in later estimates. In fairness the chances of a revision upward in this data…

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Good news in the employment figures, but the future for construction jobs remains uncertain

Good news in the employment figures, but the future for construction jobs remains uncertain

The latest employment data will provide economists, politicians and strategists with plenty to chew on. The headline figure for unemployment jumped by 43,000 to top 2.5 million for the first time since 1996, the number of people in employment fell by 89,000 and the number wanting a job rose again. But there are certainly positive signs. The claimant count is down by 32,900 and the actual number of hours worked is on the rise. And one figure that probably won’t…

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Local builders still deep in recession says latest FMB survey

Local builders still deep in recession says latest FMB survey

Evidence that construction is still far from free from the grip of recession has come from the FMB, the trade body that represents many of Britain’s local builders. The survey results show a market that remained in rapid retreat during the first quarter of this year. There is some good news as the graph (right) sourced from the FMB survey shows. The level of new inquiries appears to be levelling out and this has sparked some improvement in the level…

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Explanations on why the jobs figures and output figures don’t seem to match

Explanations on why the jobs figures and output figures don’t seem to match

The Office of National Statistics has released an article that throws some light on the figures for construction jobs. I for one have been rather confounded by the construction jobs figures which seem to have understated the devastation on the ground, particularly in the wake of the collapse in house building. Indeed I have also been a bit bamboozled by the construction output figures for a similar set of reasons. While this article doesn’t put to rest all my concerns,…

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Joy deferred as CIPS shows construction activity grows for first time in two years

Joy deferred as CIPS shows construction activity grows for first time in two years

So the construction activity indicator produced by the buyers’ body CIPS finally points to growth after two years of measuring falling workloads. But this seemingly uplifting moment appears to have brought little joy. The March figure popped its head above the 50 no-change mark on the back of rising activity in the housing and commercial sectors. But the survey also found more and deeper job cuts within the industry and there was a drop in the confidence within firms over…

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Why construction firms must recruit financial engineers

Why construction firms must recruit financial engineers

Financial engineers – you can be forgiven for holding them in total contempt. The finger of guilt for the recession ravaging construction firms points witheringly in their direction. But, galling as it might seem, construction now needs financial engineers more than it needs civil, structural, mechanical or electrical engineers. The tools and tool-making talents of financial engineers could prove vital in thawing billions of pounds worth of frozen projects. It offers the potential to generate a vaste source of new…

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Good news on the planning front – rejections fall and applications for new homes rise

Good news on the planning front – rejections fall and applications for new homes rise

The data published today on planning applications on the face of it should provide house builders and their suppliers with some comfort. The figures show that in the final quarter of last year the number of planning decisions for major residential developments – those with 10 or more homes – rose for the second quarter in a row. Admittedly the number, 1,300 in the quarter, is about half that of the average during the boom years between 2003 and 2008, but…

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Budget figures confirm the urgent need for new sources of investment in construction

Budget figures confirm the urgent need for new sources of investment in construction

As if in compensation for all the anticipation before and excitement during the Budget announcement, we are left with the dull thud back to reality afterwards. Certainly, for construction the Budget itself changed little of substance. Alright the first-time buyer stamp duty holiday was an eye-catching cheeky move. But we all know its greatest impact will be in 20 months time when we will see a flurry of activity by those who don’t want to miss out on potentially saving…

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