The chief executive of the SBF, Michael Levack, fears the industry will suffer in 2011. There had been a modest increase in output in recent months but the value of private house building had fallen by £25m and private commercial output was down 44% from when the economy was at its peak, he said.
Mr Levack said: "Surprisingly, private industrial output has seen a record quarter and the repair and maintenance sector has passed the £1bn threshold for the first time," he said.
"While there have been further rises in public sector work in the third quarter of 2010, output from this sector of the industry will inevitably plummet as budget cuts really start to bite," he said.
"As 2010 draws to a close, with output set to nosedive and, given the appalling weather we have recently witnessed, Scottish construction undoubtedly faces a long, harsh winter."