But group warns over waning commercial activity and materials shortages
Construction output is forecast to grow more than 10% this year but overall output will not return to 2019 levels for at least another 12 months, according to the latest economic predictions.
The spring forecast from the Construction Products Association (CPA) issued this morning said it expected to rise by 12.9% this year and 5.2% next.
But this year’s growth figure has been revised down from the initial 14% outlined in the CPA’s winter forecast – although next year’s estimate is up from the 4.9% predicted last time.
Infrastructure is expected to see the highest level of growth this year with a record 29.3% thanks to the ongoing work on the HS2 railway as well a slew of jobs in the water, roads, electricity and broadband sectors.
The CPA said it expected housebuilding output to grow by 14% this year, after dropping by a fifth in 2020 following the spring lockdown.
However, while the body forecast that private housing output will return to pre-covid levels by 2022, output overall, including affordable housebuilding, is forecast to remain below 2019 levels until 2023.
And commercial activity is expected to be 10.5% lower by the end of 2023 than in 2019 and the CPA’s economic director Noble Francis added: “The recovery in c