Construction Industry Forecast (Summer 2021)
26 July 2021
Construction output is currently very buoyant and is forecast to rise by 13.7% in 2021 and 6.3% in 2022, according to the Construction Products Association’s latest Summer Forecast published today. This positive outlook comes despite the dual constraints of shortages and sharp cost rises in both imported construction products and skilled labour over the next 12 months. Infrastructure and private housebuilding are expected to be key drivers of construction growth in 2021 and 2022, while the outlook for the commercial sector remains subdued.
Key points include:
- Construction output rises 13.7% in 2021 and 6.3% in 2022
- Infrastructure output to rise 23.4% in 2021 and 9.7% in 2022
- Private housing starts rise 24.0% in 2021 and 10.0% in 2022
- Commercial output at the end of 2023 still expected to be 10.1% lower than in 2019 despite three years of growth
- Private housing repair, maintenance and improvement to grow by 16.0% in 2021 and 3.0% in 2022
- Public housing repair, maintenance and improvement to rise by 14.0% in 2021 and 8.0% in 2022
