The latest Glenigan UK Construction Industry Forecast for 2021-2022 has revealed that тАЬCOVID-19 pandemic inflicted a massive shock to UK construction, but that a gradual but sustained recovery is anticipated for the next two years.тАЭ
The report which was originally released in November 2020, has been updated in January 2021 to include expert commentary on what the Brexit deal means for construction, as well as detailing the recovery of each sector of the industry.
Public sector investment is driving growth
The latest report from Glenigan predicts that by 2022, the value of underlying starts is forecast to total ┬г49.3 billion, just 3% below 2019 levels.
The UK construction sector began to see a gradual recovery during the closing months of 2020 and this is anticipated to continue for the next two years, while the UK economy recovers and endures the COVID-19 pandemic and faces challenges from Brexit.
Market intelligence expert Glenigan says:
тАЬGreater public sector investment is expected to be a major driver for construction growth over the
next two years, although the immediate priority of tackling the pandemic and the deferral of the
Spending Review to later in 2021 are likely to temper the increase in government capital funding.тАЭ
Opportunities for construction suppliers
The Glenigan report outlined several opportunities for construction suppliers over the next two years:
- There will be a rise in office refurbishment work as premises are remodelled post COVID-19.
- Growth in online sales will boost investment into logistics facilities.
- Greater public sector investment will fuel recovery in social housing, health, schools and civil engineering.
As for this year, Glenigan predicts that 8 out of 10 construction industry sectors are forecast for which makes now the time to identify the projects you want to get involved in and start planning for your growth too.
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