Residential construction remains strong, says Barbour ABI
Published: 20 May, 2016
The construction industry remained in a strong position during April with £6.1bn worth of contracts awarded, led by a 26% monthly spike in contract value from the residential sector, despite growing fears of a lacklustre second quarter for the UK economy.
According to the May edition of the Economic & Construction Market Review from industry analysts Barbour ABI, £2.1bn worth of projects were awarded in the residential sector across April, up from £1.4bn in January, demonstrating the continued strength of the sector.
Sixty-seven percent of the value came from private housing, which is no surprise considering the positive fortunes that major housebuilders such as Barratt Homes, Persimmon and Taylor Wimpey are currently experiencing.
Infrastructure was also the big winner in April, as the contract value for the sector grew by 35% compared to April 2015. A strong pipeline of renewable energy projects including two major wind farms played a large role in boosting the figures, alongside a £500m nuclear decommissioning project in Sellafield, Cumbria.