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News

CPA says Construction will stay in recession until 2011

26/04/2010

Construction is lagging behind the rest of the economic recovery, and will stay in recession until next year according to the latest forecast by the Construction Products Association (CPA).

Building reports the most recent GDP figures indicate that the economy has grown 0.2% in the first quarter of 2010, but that the CPA forecast highlights a fall of 3% in construction activity during 2010 following last year’s 12% fall; the industry’s worst decline in more than 35 years.

Growth is not expected to return until 2011 and even then it is forecast to be relatively subdued at just 1% per year in 2011, 2012 and 2013.

Despite the pessimistic forecasts, the CPA predicts work will increase in some sectors, such as private housebuilding, where growth of 32% is expected between 2010 and 2012.

In addition, construction activity is forecast to be boosted by infrastructure work in the regulated sectors of rail, water and energy.

See the full story from Building at http://www.building.co.uk/story.asp?storycode=3162507

To find out more about how to get involved in the housing recovery - attend CIMCIG's event - Profiting from Housing Growth - on May 11 - http://www.cimcig.org/events.php?id=247