Materials sales slump confirms double dip

Grant Prior 5 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

Mayor of London pulls plug on Garden Bridge

Sadiq Khan withdraws backing amid fears of funding gap and rising construction costs
3 days ago

Specialist sites to get £15bn funding boost

Building boom to continue in sectors like student accommodation and PRS
3 days ago

Manchester’s Harbur Construction goes under

More than 20 jobs axed at social housing specialist
4 days ago

Hill on track for £850m turnover target

Rapid growth ranks south firm as country's third largest private house builder
3 days ago

Scape starts race for £1.4bn Midlands framework

Procurement specialist aims to pick firms for 10 lots in Midlands and East of England
3 days ago

Reading FC’s £500m Royal Elm Park scheme approved

Work to start early next year on convention centre and housing next to club’s Madejski Stadium
4 days ago

Construction firms: Show staff and suppliers you care

Entry deadline approaching for a chance to be recognised among the best in the business at the Enquirer awards
3 days ago

Betting Spy: Chelsea title tip paying off

Nearly time to collect on our pre-season punt while Stoke, Spurs and Palace can land a treble
3 days ago

Taylor Wimpey chief takes reins at Countryside house building

Countryside unveils leadership shake-up at house building and partnerships operations
4 days ago

New home registrations soar to 10-year high

NHBC registrations jump 17% in first three months of 2017
4 days ago

AstraZeneca HQ project costs skyrocket

Cambridge HQ project running over two years late and to cost £170m more than expected
4 days ago

HSE inspector numbers fall by 25%

Spending cuts bite at HSE raising union concerns about lack of enforcement
4 days ago

Taylor Wimpey sets aside £130m to settle lease rows

Housebuilder acts to help homeowners hit by ground rents which double every ten years
4 days ago

Styles & Wood targets schools and Government hub refit

Fit-out specialist targets public sector refurb work as profit jumps 26%
4 days ago

Forrest lands twin towers resi deal in Manchester

Contractor lands significant deal as it shifts from traditional maintenance market
5 days ago

CSCS backs “try before you buy” apprentices

Skills body supports on-the -job training with funding for contractors
4 days ago

Heathrow plans offsite revolution for infrastructure construction

Four new logistics hubs to be dotted around country to pre-assemble components for £16bn airport expansion
5 days ago

Interserve and Kier walk away from £100m water deal

Contractors unable to agree a price after six months with Severn Trent Water
5 days ago

Irish duo scoops £85m Cumbria pipeline job

Farrans and Roadbridge joint venture to deliver Thirlmere water mains project
5 days ago

Civils firms win £60m Welsh roads framework

Alun Griffiths, Dawnus, Jones Bros and JN Bentley snare Welsh roads spend
5 days ago

Grosvenor eyes mid-market housing as London chills

Plans for 1,500 homes to be submitted this year for five hectare Bermondsey site
5 days ago

CBI turns to “future leaders” to reform construction

Think tank set-up of rising stars under 35 to generate new ideas
5 days ago

Laing O’Rourke to get new Chairman

Anglo American chief Sir John Parker to join later this year
6 days ago

Talks start on independent appeals against FFI charges

Contractors to get fair hearings over £124-an-hour safety visit charges
5 days ago

Former Liverpool Chinatown contractor goes under

Bilt Group in creditors' voluntary liquidation
6 days ago

Staircase contractor fined £185k after death at O’Rourke site

CMF Ltd fined after worker crushed by falling concrete staircase
6 days ago

British Land submits latest Broadgate revamp plan

Developer to boost shopping space at 135 Broadgate bank building
6 days ago

Newly merged housing group to build 1,200 homes a year

Vivid plans to double new build housing output in Hampshire and Surrey
6 days ago

Willmott Dixon wins £24m Harwell testing lab

Builder returns to Harwell after completing project two years ago
6 days ago

Morgan Sindall wins £30m Soton student digs

Select Property Group has nine schemes in development around the country
6 days ago

Contractor services