Construction Output to Fall
Output through the whole of the construction industry, including the flooring industry, is set to fall over the next two years according to the latest reports. The Construction Products Association says that while the industry, including the flooring industry, which deals with such things as wood floor restoration, showed signs of recovery over the course of last year, new estimates predict a fall of around 1% during this year and a further fall of at least 2% across the whole of next year, ultimately coming to 3% less than in the pre-recession period of 2007.
Construction work in the public sector, such as new flooring for government buildings, is likely to fall by as much as £11 billion within the next four years, although in the private sector it is expected to rally, with growth predicted in such areas as the retail sector and offices where a rise in output of no less than 14% is currently being predicted.
“It is especially worrying that the construction industry is going to face another two years of fall in output” says the Chief Executive of the Construction Products Association, Michael Ankers, “particularly given it is an industry that has been identified in the government’s Growth Plan as having a key part to play in the economic recovery. Significant cuts in public spending are inevitable whilst the private sector remains cautious about the pace of the wider economic recovery and consumer confidence remains at low levels.”