Grim construction figures prompt demand for action

Levels of building work fell sharply across all parts of construction in the second quarter of 2012, the Construction Products Association (CPA) has said.

Its latest Construction Trade Survey reveals a slide in activity in areas including current workloads, new orders and tender prices, adding to "continuing woes" and growing uncertainty, said economics director Noble Francis.

"As public-sector investment declined, in line with the government’s budget-deficit reduction objective, there was no sign of private-sector recovery to offset these cuts, leaving the sector with very little optimism for recovery in the near future," he said.

Large and medium-sized building contractors saw output fall in four of the last five quarters. They said overall orders dropped 25 per cent in the first quarter and by 50 per cent in the second quarter. A third reported rises in costs.

Francis said: "The concern for landscape architects and contractors is that this fall is happening across all sectors: commercial, industrial and public, and across improvements, maintenance and repairs.

"Large companies with finance, back orders and land with planning permissions are generally OK, but smaller and medium-sized companies are struggling. The position for construction in the UK is now looking very bleak indeed.

"This survey brings together the position from all parts of the construction supply chain and the fact that these findings are reflected throughout the industry should send a stark message to the government – this is really beginning to hurt."

However though total construction was falling, there was room for cautious optimism, he felt: private housebuilding was expected to grow next year while Network Rail had guaranteed investment in new tracks including Crossrail.

Francis called for the government to focus on immediate construction work throughout the country, which called for "actual investment to replace the rhetoric that has, of late, been all prevalent".


Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Sign up now
Already registered?
Sign in

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus

Read These Next

Sargent's solutions - how to attract the best staff for your business

Sargent's solutions - how to attract the best staff for your business

There are ways to find quality candidates for horticultural jobs if you widen your search parameters, Alan Sargent suggests.

Business Planning - Staff are your greatest asset

Business Planning - Staff are your greatest asset

An effective strategy to retain staff is the best way for any business to avoid a potential recruitment crisis, Neville Stein advises.

IoG Saltex 2017 - Kit showcase

IoG Saltex 2017 - Kit showcase

Mowers, turf care, battery equipment, seeds, arboriculture kit and weed control will all see a wide range of new releases at Saltex, Sally Drury reports.


Horticulture Jobs
More Horticulture Jobs

IOG Saltex

Get set for IoG Saltex 2017 with our comprehensive show guide and exhibitor info.

Are you a landscape supplier?

Horticulture Week Landscape Project Leads

If so, you should be receiving our new service for Horticulture Week subscribers delivering landscape project leads from live, approved, planning applications across the UK.

Industry Data

An exclusive report for HW subscribers revealing the key development trends, clients and locations for 2017.

Products & Kit Resources

BALI National Landscape Awards 2016

Read all about the winning projects in the awards, run in association with Horticulture Week.

Noel Farrer

Founding partner of Farrer Huxley Associates Noel Farrer on landscape and green space
 

Read Noel Farrer