Construction buyers see brighter 2012 prospects

Grant Prior 10 years ago
Share

Confidence among construction purchasing managers has reached an eight month high.

Latest figures from the Markit/CIPS Construction Purchasing Managers’ Index show construction output rose in January for the 13th month in succession.

The index dipped to 51.4 from 53.2 in December where anything above 50 represents an increase in output.

But confidence levels about future prospects rose to an eight month high to hit the second-greatest degree in the survey’s history.

Sarah Bingham, Economist at Markit and author of the UK Construction PMI, said: “Construction firms grew more upbeat about their prospects for 2012, with business confidence showing the second-greatest monthly jump in the survey’s history.

“This suggests that growth may pick up again in the sector in coming moths.”

David Noble, Chief Executive Officer at the Chartered Institute of Purchasing & Supply, said: “It’s clear that many businesses have replenished their levels of optimism and have high expectations for improving economic conditions and new contracts.

“This confidence bodes well for the year ahead, although this visibility over potential new business will need to convert quickly into tangible work if employment levels are to improve.”

Andrew Duncan, director of property at the programme management and construction consultancy Turner & Townsend, said: “Early indications for 2012 are that things have improved since the last quarter of 2011 – and that more work is coming down the pipeline.

“Certainly there are more bidding opportunities about, even if there is intense competition on price.

“And that’s why the encouraging levels of confidence are still not being converted into anything more than meagre levels of new business.”

Latest news

London office starts set to surge over next 6 months

Deloitte Crane Survey predicts jump in starts in Capital despite high building costs
4 hours ago

Fit-out firm BW Workplace slips into the red

£5.2m backdated R&D tax credit deal lifts after tax performance
4 hours ago

Competition probe launched into Bouygues takeover of Equans

Bouygues is hoping to finalise acquisition later this year
3 hours ago

Hinkley Point delayed another year as costs rise by £3bn

Covid blamed for construction delays and cost increases
3 days ago

TfL seeks developers for trio of over-station sites

Plum sites at Bank, Paddington and Southwark come with consent for 600,000 sq ft
4 hours ago

Underwater drone used to check offshore wind farm foundations

Underwater robots deployed for inspection and maintenance work
4 hours ago

DfE to unveil plans for school procurement shake-up

Supply chain summit to be held next month in Birmingham on future of schools frameworks
3 days ago

Plan for £100m clifftop hotel and flats in Newquay

Developer Salboy's landmark scheme to go in for planning shortly
3 days ago

Top 30 M&E contractors set for growth – ranking

Major M&E firms prepare for work surge after riding out pandemic
3 days ago

Former Mace boss joins Taylor Wimpey board

Mark Castle takes on another non-exec role
3 days ago

ISG starts £28m duo of Yorkshire leisure centre jobs

Harrogate and Knaresborough leisure centre jobs get underway
3 days ago

HS2 workforce surges to 25,000 jobs milestone

Over 2,500 firms form the HS2 supply chain
3 days ago

Green light for 1.4m sq ft Yorkshire logistic hub

Work at the site, located 24 miles from Leeds city centre, is expected in September.
3 days ago

Contractors lift tender margins to 9% on bids in the Capital

Developer Landsec to press ahead with trio of London office schemes this year despite cost inflation
4 days ago

Fire safety work plunges Countryside to £182m loss

Countryside Partnerships forms dedicated division to handle retrofits on a 123 buildings
4 days ago

Site wages row looms as union dismisses “derisory” pay offer

Unions want 10% increases but employers offer less than 4%
4 days ago

Fusion wins Manchester high rise student block appeal

Planning inspector overturns city council refusal for 28-storey Deansgate block
4 days ago

Failed London fit-out specialist owed trade firms £13m

Twenty 1 Group owed HMRC £9.7m leaving more than 300 firms with no hope of payment
5 days ago

Demolition work imminent on half-built Taylor Wimpey flats

Angry local residents share pictures of site set to be torn down
4 days ago

B&K returns to strong profit growth across the group

Pre-tax profit jumps 23% to £65m as revenue edges up to £1.18bn
5 days ago

British Land expects tender price inflation to hit 10%

Developer says 91% of costs are fixed on planned schemes
5 days ago

Morgan Sindall set for £80m leisure and health hub

West Suffolk public service development to be built at no extra cost to tax payers
5 days ago

Plans in for £500m Hollow Mountain pumped hydro scheme

Work removing 2m tonnes of rock could start within two years
6 days ago

L&G to pump £4bn into West Midlands developments

West Midlands Mayor Andy Street signs landmark investment deal with L&G
5 days ago

Hunt starts for £250m Stockport 8 site developer

Town centre 8-acre site is earmarked for 1,200 homes, shops and leisure
6 days ago

Higgins bags trio of East London passivhaus schemes

Partnership to build 220 affordable homes for Newham council
6 days ago

Water industry revives PFI model for £1bn job

Vast Haweswater Aqueduct upgrade to pilot new DPC model, hailed as the future for water companies
6 days ago

VolkerRail fined £550,000 after trench collapse

Court hears how two metre deep excavation was unsupported
6 days ago

‘Ratty the Robot’ takes bite out of costly pipe inspections

Pipe-crawling tetherless robo-rat makes light work of complex underground inspections
6 days ago

Graham gets green light for £124m M25 Junction 28

Consent allows work to start this Autumn on Essex junction upgrade
7 days ago

Contractor services