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Tag: construction industry

Mood grows gloomier among construction industry forecasters

Mood grows gloomier among construction industry forecasters

The mood among the construction industry forecasters appears to be getting gloomier. Rather than a quick dip back into recession, in the opinion of forecasters the construction industry looks to be facing a more protracted swim through recessionary waters before reaching firm ground and growth again. Experian downgraded its expectations for growth fairly markedly from its spring to summer forecast. And this follows the Construction Products Association shading down its forecast earlier this month. Both seem to be far less…

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Jobs and pay data do little to perk up waning hopes for growth

Jobs and pay data do little to perk up waning hopes for growth

The latest jobs and pay data released by the Office for National Statistics today provide little by way of comfort about the economy or, more specifically, for those in the construction industry. There was an improvement in the numbers employed with 50,000 more in employment over the past three months to May and 26,000 fewer were counted as unemployed. But we have seen a continued rise in the claimant count. And annual pay rose at an annual rate of just 2.3%,…

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Construction output: So far it’s better than last year, but can that last?

Construction output: So far it’s better than last year, but can that last?

The construction firms may be suffering and may be shedding jobs, but the bald statistics so far for this year suggest that the industry is faring better than the gloomy news might have some believe. The latest construction output figures show that in pure cash terms the industry pocketed about £1.24 billion more in the first five months of this year than in the same period in 2010. And 2010 proved a pretty good year in the end, with output…

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Forecasters see pain deferred as recessions takes longer to bite in construction

Forecasters see pain deferred as recessions takes longer to bite in construction

The latest construction output forecast from the materials producers body Construction Products Association suggests pain deferred for the industry. The revised view is that this year will be less bad than the forecasters first thought, but next year will be worse and the recovery expected in 2013 will be weaker. The main thinking behind this gentle revision is that the fall off in public spending on construction is happening slower than was previously expected, having interpreted the Government spending plans….

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Mini surge over for plant hire as activity dips in April

Mini surge over for plant hire as activity dips in April

The mini surge in plant hire activity in February and March came to an end with activity dropping by 2.8% in April, according to the latest Index of Services figures. Okay, there was an extra Bank holiday in April with the Royal Wedding that will have dampened activity. But conversely the weather was rather better than normal and may well have helped support activity in construction. Too much should not be drawn from one month’s figures, but the dip in activity in…

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Construction output figures in the dock: the case for the defence

Construction output figures in the dock: the case for the defence

In my chats with national statisticians about the troublesome output statistics, I sense it was the word “baloney” used by Kier chief Paul Sheffield that irritated more than most other comments on the figures. The word troubled me, probably for different reasons. I take cursing seriously and the use of out-of-vogue slang emanating from the Italian-Irish-American inter-war gangster era for some reason just jarred. Still, the Office for National Statistics decided to hit back at the growing criticism of –…

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Construction jobs slump to lowest level since 2003

Construction jobs slump to lowest level since 2003

Construction lost a further 24,000 jobs in the first quarter of this year with the number of workforce jobs dropping to its lowest level since mid 2003. The labour market statistics provide further evidence of the slump in construction activity. Although it is worth bearing in mind that the more jobs rich repair and maintenance sectors have taken more of a beating than the new work sectors of construction. This would mean proportionately more jobs lost for a given drop in overall…

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Orders figures support view that there is cause for concern in construction

Orders figures support view that there is cause for concern in construction

The main message in the construction new orders figures released by ONS this morning is that the slope is downward and this is points to further falls in output in the future. And, to put them in context, against peak levels in cash terms orders for new construction work are down about a third. But more worryingly we don’t appear to be seeing the kind of acceleration in the private sector we would need to compensate for the losses faced in public…

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Thank God for the bankers

Thank God for the bankers

The latest survey of construction by the surveyors’ body RICS paints a generally brighter picture of the industry’s activity and prospects albeit with some rather dark patches. A crude summation might be that commercial and housing in London and the South East is doing “good”, while everything else and everywhere else is doing “average” or “bad”. Or to put it another, perhaps more cynical way, thank God for the bankers.