Materials sales slump confirms double dip

Grant Prior 4 years ago
Share

A sharp slowdown in the sale of construction materials during the first quarter of the year has added weight to GDP figures showing a 3% fall in industry output.

mpa

Latest figures from the Mineral Products Association show a substantial reduction in sales of aggregates, ready mixed concrete and asphalt.

Crushed rock and sand and gravel aggregates fell by 13% and 12% respectively in the first three months of 2012 compared to the same period last year.

Ready-mixed concrete and asphalt fell by 9% and 17%.

Jerry McLaughlin, Chief Economist MPA, said: “These figures represent real deliveries of materials to construction projects, not opinion survey data, and they indicate that there is a real likelihood that construction activity will fall away and constrain economic recovery as we move through 2012 and 2013.

“There has been some criticism of the ONS data released on Wednesday which showed a 3% first quarter decline in construction compared with the fourth quarter and lower activity than the first quarter of 2011.

“These official figures are provisional, but they reflect just what our industry is experiencing on the ground.

“Outside the strong construction markets of Greater London and parts of South East England, lack of demand is becoming critical as public investment in construction falls away and there is little private sector construction growth to fill the gap.”

Latest news

Workers sent home from Cardy Construction sites

£63m turnover Kent contractor files notice of intent to appoint administrator
4 hours ago

Student digs giant Unite commits to £675m pipeline

Student accommodation construction boom continues as Unite eyes London market for bargains
8 hours ago

US investor snaps up Morrison Utility Services

£600m turnover contractor bought by investor First Reserve
7 hours ago

Lindner wins £25.4m cladding package at Principal Place

Facade work to start on 50-storey resi tower in City of London next year
8 hours ago

Go-ahead for Portsmouth prison-to-homes job

Developer City & Country to create 230 homes at HMP Kingston site
8 hours ago

£60m expansion plan for Manchester biomedical hub

Construction to start next Spring on latest phase of Citylabs scheme
9 hours ago

Labourer crushed under three tonne road roller

Machine slides down steep bank and pins worker beneath it
7 hours ago

Arup to work on 21-storey resi tower made of wood

Construction to start next year on world's tallest wooden resi tower in Amsterdam
8 hours ago

CITB to fund “Robots for Roofing” research

Drone flying programme one of beneficiaries of latest CITB funding round
1 day ago

Lakehouse founder Steve Rawlings dies

Construction entrepreneur dies after short illness
1 day ago

Voting starts for the best companies in construction

Vote now for your favourite contractors, clients and suppliers
1 day ago

Shareholder moves to oust Speedy chairman

Major shareholder calls for former Crest Nicholson chairman to be parachuted in
1 day ago

BAM beefs-up site security after daredevil climbs tower crane

Urban explorers target £29m school site in Barrhead
1 day ago

Gatwick names 17 contractors on £1.2bn frameworks

Full list of winners from 127 companies who entered the tender race
4 days ago

Firms on alert for £700m South Wales Metro prequal

Transport for Wales gears up for early contractor involvement framework race
1 day ago

John Graham group revenue breaks £500m barrier

Contracting arm trebles profit as margins return to 1.8%
1 day ago

Bidders day for new £300m Surrey and Sussex framework

Plan for new Orbis framework to be outlined in September
1 day ago

ISG bags £13m Manchester Corn Exchange project

Work to start in August converting iconic grade II listed building into a hotel
1 day ago

Contractors hit by concrete block shortages

Supplies drying up as manufacturers prioritise regular construction customers
4 days ago

Building boss jailed for conning pensioner out of £150k

Contractor sentenced to three years for massively overcharging 87-year-old
4 days ago

Skanska shrugs off Brexit fears

Contractor taking a "measured and calm" approach amid post referendum uncertainty
4 days ago

D-Day for Hinkley construction next week

Contractors hoping for good news as a final decision set to be made on £24.5bn nuclear scheme
4 days ago

Vantage Design and Build collapse dents Inland Homes profit

House builder to "self deliver" homes rather than rely on contractors
4 days ago

Mears boss Bob Holt to help turnaround Lakehouse

Contractor offers rival chairman millions to lead recovery
4 days ago

H&V workers land 4.5% pay rise over next two years

"Robust" negotiations see pay deal "appropriate in the current economic climate"
4 days ago

Contractor fined £120,000 after worker sprains ankles

Builder falls 4.5 metres down service riser shaft on refurb site
4 days ago

Dunne bosses blame collapse on bankers

Insider reveals final hours of failed concrete specialist
6 days ago

Chinese construction giant to invest £1bn in Sheffield

First tranche of £220m to fund construction schemes over the next three years
5 days ago

Balfour urges Tories to borrow more to fund infrastructure

Contractor wants Government to make up any investment shortfall in wake of Brexit
5 days ago

Breedon plans post Brexit buying spree

Aggregates firm looking at more acquisitions as Hope deal completes
5 days ago