The latest data from Glenigan suggests that total construction starts were 37% down on a year ago, and 19% down against the preceding three months on a seasonally adjusted basis during the three months to April.
Its findings show that residential starts fell by 40% against a year ago and by 18% against the preceding three months. Non-Residential starts meanwhile slipped back 21% against the preceding three months and by 34% against a year ago. Civil engineering project starts fell by 34% on a year ago, and by 10% on the preceding three months.
Rhys Gadsby, Glenigan’s Economic Analyst, said: “The number and value of new projects starting on site has fallen sharply since the lockdown came into force at the end of March and continued throughout April.
“Residential starts declined the most during the three months to April against the previous year, with private residential starts taking the biggest hit. Private housing project starts fell 43% against the previous year, and by 29% compared with the preceding three months on a seasonally adjusted basis. Social housing starts dropped 32% against the previous year, however strongly improved on the previous three months on a seasonally adjusted basis, with a rise of 30%.
“Non-residential projects fell against the preceding three months on a seasonally adjusted basis and against a year ago, falling by 21% and 34% respectively. Industrial project starts contributed to this decline dropping by 42% on a year ago and by 31% on against the preceding three months on a seasonally adjusted basis. Retail starts also saw a dramatic decline, with starts down 42% on the previous year, and by 7% on the preceding three months (seasonally adjusted). All sectors saw declines against a year ago, with the exception of Community & Amenity, where the value of starts was unchanged on the preceding three months on a seasonally adjusted basis and was up 27% compared with a year ago.”
Rhys continued: “Civil engineering starts were down 10% on the preceding three months on a seasonally adjusted basis and were 34% lower than a year ago. This fall was led by a sharp drop in infrastructure starts, which were 52% down on a year ago and 34% lower than the preceding three months on a seasonally adjusted basis. In contrast the value of utilities starts was 47% up on the preceding three months on a seasonally adjusted basis and 13% higher than a year ago.”
He concluded: “Unsurprisingly, every region saw declines in starts on a year ago. The East of England, London and West Midlands saw sharp falls, with falls of 41%, 44% and 43% respectively. Wales saw the steepest decline, with the value of starts falling 54% during the three months to April on a year ago. Scotland fared the best during the three months to April, with starts falling by only 6% compared with a year ago.”
For more information, visit www.glenigan.com
