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CPA urges caution over construction growth figures

The Office of National Statistics might be reporting a sharp increase in construction output, but the Construction Products Association is warning that the industry is still in a precarious position.

CPA urges caution over construction growth figures

ONS figures for construction output in the second quarter of the year showed a sharp increase of nearly 9% over the first quarter, however, CPA chief executive Michael Ankers said they “flatter to deceive”.

“Construction was particularly badly hit by the poor weather in the early part of the year and so the second quarter was always going to see a sharp pick up. In addition, a number of public sector projects were started in the run up to the Election and this undoubtedly helped boost output in the spring.”

He says that the CPA is concerned about the prospects for continued output growth in the rest of the year and beyond.

“Construction accounts for nearly 10% of the UK economy and employs more than two million people. It has a fundamental part to play in the economic recovery as it provides the essential transport and energy infrastructure, health facilities, homes, factories and offices the country needs. It is vital therefore that in delivering its future spending plans, the government ensures it focuses capital investment in the areas that will do most to stimulate this recovery.”

About Fiona Russell-Horne

Fiona Russell-Horne
Group Managing Editor across the BMJ portfolio.

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