Construction output is forecast to fall by 7.0% in 2023, primarily due to sharp falls in activity in the two largest construction sectors, private new housing and private housing repair, maintenance and improvement (rm&i). Output in the third largest construction sector, infrastructure, has also been revised down again due to government delays to roads and rail projects that will only add further cost to the projects when they return. Construction output is forecast to increase in 2024, by 0.7%, as wider economic growth boosts demand for both new build housing and rm&i activity.
FIS Members can download their copy of the CPA’s Summer Forecast here.