A major reduction in the number of social housing starts has led to a 4% fall in the latest Glenigan Index of construction projects.
New figures show that there was a 17% fall in social housing which more than cancelled out a 15% increase in private sector housing starts. New figures for the three months of the year up to April, show that there was a 17% fall in social housing which more than cancelled out a 15% increase in private sector housing starts.
Glenigan economist James Abraham said: ‘This is the largest year on year decline in the index since the 5% fall in May 2001. The increase in private sector starts failed to outpace public sector cuts.
‘There was a similar pattern of private sector growth versus public sector cuts in non-residential construction. Office and industrial building is responding to shortage ion supply following three years of limited building and supermarket investment remains high. However health, education and community and amenity all fell as public sector cuts continue to bit.’
