The RIBA future trends survey index took a hit in June falling from 13 to 2. This finding that architects are less optimistic about prospects is pretty much in line with what looks like a coordinated decline in optimism across the construction supply chain.
The Government’s intervention to boost infrastructure spending is timely. The construction data is almost all pointing in a southerly direction. The latest construction activity survey from the surveyors’ body RICS, released today, suggests workload among its members shrank in the second quarter.
The latest batch of industry forecasts are emerging and they show construction locked in a deeper recession than previous expected. The recovery now looks further away. Top graph shows how the industry appears to be facing a pretty deep and protracted second recession.
The Euroconstruct conference held earlier this month in London provided lashings of gloom, but it also provided plenty of food for thought. The twice-yearly conference brings together the thoughts and expectations of construction economic research groups covering 19 European countries. I have not been for many years and forgot how useful it was to look at the similarities and differences between countries. Even if you are not that interested in other European construction markets, seeing how they are performing helps…
The latest output figures released by the Office for National Statistics on Friday appear to support growing concerns that the decline in construction workload might be accelerating. Analysis of the data suggests that as the decline in public sector work is gathering pace the recovery in the private sector is petering out.
The latest official data for new orders in construction could be read as good news. They show an up-tick of almost 5% in the first quarter of this year on the seasonally adjusted measure. That sounds promising on the face of it and many might claim that it is. But that would be to look at a small detail in a much bigger picture that looks far from promising.
The latest official house building figures came out today. With the exception of the housing minister Grant Shapps they seem almost universally to have been greeted with great concern. To put it bluntly, they’re awful.
Tomorrow we get the first hint of how construction might perform this year when the Gross Domestic Product preliminary estimate figures for the first quarter are released. Looking at the initial data on construction output for this year, I suggest everyone should be prepared for a nasty number to emerge within the data for construction’s contribution. But while I think it likely, that doesn’t mean it will. There are things we don’t know. What will early returns for March show?…
The Bank of England seems to have taken a kicking in the press following the release last week of the Office of National Statistics estimate for inflation in March. The reports seem to fixate on the uptick to CPI inflation from 3.4% in February to 3.5% in March. This rise did not fit, in the view of many economic commentators, the script written by the Bank of England in its latest Inflation Report. Although in fairness the report did point…
There’s very often a paradoxical upside to bad news, as I’m sure the Taoists among us will readily accept. It will be disturbing news if the next set of stats show that measured construction output collapsed in the first of this year. But, weird as it may seem, that might just provide a fillip for real action to support an industry that gets more political attention than it does sensible assistance. Let’s start the story from the growing media attention…