Construction regions
Construction Outlook: April 2024
After increasing by 2% in 2023, the outlook for construction is one of weakness, with volumes forecast to fall by roughly 5% in 2024, and 3% in 2025. Near stability is forecast for 2026. The rise in work reported for 2023 was due entirely to repair and maintenance, which ONS data shows as increasing by … Read More
Construction Outlook: January 2024
The outlook for construction will continue to be affected by lag effects associated with tighter monetary policy and elevated debt levels: in short the UK economy is yet to fully experience the economic impact of near 5% base rates. In the public sector raised borrowing costs, alongside elevated debt levels, are serving to limit public … Read More
Construction Regions: Autumn 2023
Hewes & Associates’ latest regional construction forecast provides new work output forecasts (public & private housing, infrastructure, public non-housing, industrial, commercial) and repair & maintenance output forecasts (housing, public non-housing, private non-housing, infrastructure) for all 11 regions of Great Britain, covering the years 2023 – 2025. Some highlights of the report: The decline in private … Read More
Construction Outlook: October 2023
The outlook for construction and the economy is, in a nutshell, one of challenge and weakness. The lag effects of excess debt followed by tighter monetary policy are such that we are yet to fully experience the economic impact of near 5% base rates. More than a decade of near zero base rates, combined with … Read More
Construction Outlook: July 2023
The outlook for construction is very much tied to the path of interest rates, which have risen steeply since early 2022. Such are the lag effects of monetary policy that we are yet to fully see the economic impact of 5% or so base rates. We thus expect the economy to slip into recession over … Read More
Construction Regions: Spring 2023
Hewes & Associates’ latest regional construction forecast provides new work output forecasts (public & private housing, infrastructure, public non-housing, industrial, commercial) and repair & maintenance output forecasts (housing, public non-housing, private non-housing, infrastructure) for all 11 regions of Great Britain, covering the years 2023 – 2025. Some highlights of the report: • Over the years … Read More
Construction Outlook: April 2023
As we move through 2023 it is becoming clear that inflation is proving more stubborn than expected by the Bank of England, and that base rates will have to stay higher, and for longer than most would like. For construction, the fallout from higher base rates (together with restricted public sector investment) is a forecast … Read More
Construction Outlook: January 2023
After rising by an estimated 6.5% in 2022, we expect total construction output to decline by 6.3% in 2023, and 4.7% in 2024. Meanwhile, the economy is forecast to contract by 2.5% in 2023. Higher interest rates are not, in our view, a temporary shock to the system from which they will adjust back to … Read More
Construction Outlook: October 2022
After rising by an estimated 3% in 2022, we expect total construction output to decline by around 5% in 2023, and by 2% in 2024. Meanwhile, the economy is forecast to contract by 2.5% in 2023, and broadly stabilise in 2024. Prior to September 2022 the outlook was rather dull, with inflation serving to raise … Read More
Construction Outlook: July 2022
After rising by almost 13% in 2021, we expect total construction output growth to drop below 1% in 2022, while for 2023 we expect a decline of around 3% in the volume of work. Near stability is forecast for 2024. In all we expect a protracted period of weakness – a recession, although not a … Read More