Construction decline to continue
Published:  10 August, 2010

LONDON: The construction industry will shrink in the second half of the year according to the latest Construction Trade Survey published yesterday.

Although product manufacturers reporting rising sales in the second quarter of the year 61% of heavyside manufacturers anticipate no change or a fall in sales in the second half of the year.

With public sector cuts looming, the outlook for the industry over the coming months is "bleak" the association said.

Noble Francis, economics director at the association said: "Over the next few years, construction is braced for a fall in public sector investment and will increasingly need to look to the private sector for growth."

Building and civils contractors experienced falls in output in the first and second quarter of 2010, with all sectors of the industry reporting poor sales, order books and enquiries the association said.

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