Construction continues to contribute to UK economic recovery
- Private and public new housing work up 0.3% and 13.5% over the last month respectively1
Andy Sommerville, Director at Search Acumen, says:
“This latest data shows construction continues to cement itself as one of the key contributing sectors powering the UK’s economic recovery.
“The rise in new housing construction work over the last month can be partly attributed to housebuilders ramping up work to complete projects that had their forecasted completion times extended due to ongoing restrictions on economic activity.
“Tailwinds emerging from the property market running hot as a result of the Stamp Duty holiday has likely improved confidence among housebuilders, prompting them to begin new projects.
“The medium outlook for the property market is less favourable compared to the last six months. The extension of the Stamp Duty holiday until 30 June is unlikely to provide the same degree of stimulus that the initial holiday provided, while possible rises in unemployment once Government support schemes are wound down may pare back consumer confidence. This is all likely to compound to put downward pressure on house prices, which would fuel greater reticence among housebuilders to maintain current supply volumes.
“To improve development decisions, greater investment in the digitisation of property information will help housebuilders identify risks up front. One example of a digital innovation developers could benefit from is our Line Search Before U Dig tool. The data that can be extracted from this tool could be used to help builders identify utility assets to make informed decisions, cutting down the risks and associated costs with damaging existing utility infrastructure. Providing key data upfront will empower professionals involved in the transaction process to be more confident that information on properties is robust and truly reflects their adherence to industry standards.”
This article was submitted to be published by Search Acumen as part of their advertising agreement with Today’s Conveyancer. The views expressed in this article are those of the submitter and not those of Today’s Conveyancer.