CPA predicts better times ahead
"CONSTRUCTION output in 2002 is forecast to slow to just 1.8% as private sector activity is hit by slower UK economic growth and a weak and uncertain world economic environment, according to the Construction Products Association’s latest industry forecast. In contrast, public sector activity, including PFI work, is set to grow by 7%."
"The CPA says this year should see a significant increase in education- and health-related work as a number of both PFI and traditionally funded projects move forward. Similarly, increased transport investment is forecast to drive infrastructure output higher over the next three years. Sustained progress, however, will be dependent upon the realization of road investment planned under the 10-year transport strategy and the swift resolution of the current crisis in the rail industry."
"Commenting on the forecast, the Association’s chief executive, Michael Ankers, said it underlined the importance of ensuring the timely realization of the Government’s investment plans. ‘Although output this year is forecast to slow down significantly, if planning delays and other bureaucratic obstacles do not hold back the delivery of the Government’s promised investment under the 2000 Comprehensive Spending Review, construction industry growth is forecast to exceed that of the general economy in 2003 and 2004 for the first time in over a decade, rising by 3.5% and 3.8% respectively.’"
