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CPA encouraged by ongoing recovery in Q1


Pick-up in construction product manufacturing being led by housing, infrastructure and R&M sectors

THE recovery in construction product manufacturing continued in the first quarter (Q1) of 2021, according to the Construction Product Association’s (CPA) latest State of Trade Survey. So far, the pick-up in activity has been led by private housing, infrastructure and the repair and maintenance sectors.

Forty-one per cent of heavy-side manufacturers reported an increase in sales in Q1 and a similar proportion reported an increase in annual terms, which points to activity rising above pre-coronavirus levels. In addition, 53% of heavy-side manufacturers anticipated a rise in product sales over the next year, on balance.


According to the CPA, extensions to the Government’s job-support schemes and housing market stimulus, plus activity on large-scale infrastructure projects, look to have underpinned confidence that the recovery will continue.

Rebecca Larkin, senior economist at the CPA, said: ‘The construction industry continues its V-shaped recovery, resulting in another quarter of increased sales for product manufacturers.

‘This appears to be the case particularly in private housing, which is experiencing a flow of pent-up demand and policy support from Help to Buy and the stamp duty holiday. Infrastructure and the repair and maintenance sectors are also driving activity as work on major projects accelerates and homeowners and commercial occupiers re-assess their use of space.’

She added: ‘Encouragingly, manufacturers expect continued growth over the next year.’


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