26th February 2015
UK construction output set to grow by 4.2% in 2015, economists report
This 2015/16 forecasts outlines what’s in store for the construction industry in the near future.
If you’ve been reading the Integrity Software blog, you’ll know that 2014 was a good year for the construction industry – in fact, it was the best year for housebuilding since 1997. 2015 is set to be another interesting year for the sector, with the general election causing a great deal of uncertainty for construction companies. However, a new report by economists at construction specialists Leading Edge held an optimistic view of the future.
The report suggests that we can expect a 4.3% increase in construction output against 2014’s figures (at 2011 prices), despite the looming presence of the upcoming general election. Additionally, Leading Edge predicts a further 3.7% growth in 2016. By 2018, the output of the construction sector will be 6% higher than the pre-recession, 2007 peak of £128.3 billion.
The biggest sources of growth are expected to be the private housing sector and commercial projects, with the maintenance and repair sectors also seeing growth. The expansion will increasingly be spread across the regions – while 36% of UK construction output came from London and the South East in 2014, this monopoly is expected to fade as other regions strengthen.
These optimistic forecasts are good news for construction companies, which may have feared a sluggish 2015. Preparing your company for continued growth can be a time-consuming process. With the assistance of construction accounting software, you can create your own financial reports and forecasts with just a few clicks – enabling you to easily monitor the state of your business and better prepare it for the future. Take a look at more features of our construction software packages.