Construction levels continued to fall in the three months to September, says the latest RICS Construction Market Survey.
Public and private housebuilding continued to drop during the last quarter, as pressure continues to mount on the government to ensure rapidly growing demand is met.
Overall, construction workloads seem to have plateaued. The sector has now failed to see any significant growth in almost five years. The industry will be hoping that the recently announced £50 billion stimulus package will go some way to boosting much needed development.
Across Great Britain, all areas failed to see any significant growth with the exception of the Midlands, where overall workload readings reached their highest level since early 2010 (net balance +10 percent).
Simon Rubinsohn, RICS Chief Economist, commented:
“Without doubt, housebuilding is continuing to struggle and last quarter was predictably difficult for construction firms. The government’s £50 billion stimulus package will hopefully deliver a much needed shot in the arm for the sector, but we would like to have seen a greater level of investment in housing.
“However, with the raft of measures recently put in place by the government, it appears that there is some optimism that things could improve over the next twelve months in terms of workloads, profits and jobs. If this comes to pass, it will be an extremely welcome lift for both the construction sector and the wider economy.”