The research also revealed that the traditional north-south divide in build costs in the UK is starting to close.

The construction market in the north of England is set to experience the highest construction cost price inflation in the UK outside of London – at 3.6% this year compared to 2.9% during 2016.

Southern and central England are set to see construction price inflation fall from 3.5 to 2% and 3.8 to 3.5% respectively.

Steve McGuckin, Global Managing Director – Real Estate, Turner & Townsend, said: “London has long been the engine room of the UK construction industry, but the market in northern cities is starting to pick up steam.

“The devaluation of sterling has woken foreign investment up to the opportunities in many other UK regions, and Manchester in particular has emerged as the most attractive alternative to the capital – as can be evidenced in the huge volume of high rise schemes and residential activity.”