Figures from both the National Housebuilding Council (NHBC) and the Construction Products Association (CPA) have shown that the construction sector remained strong throughout the summer months, as it defied pessimistic predictions following the EU Referendum.
Q3 statistics from the NHBC have revealed that 36,000 new homes were registered in the UK between the months of July and September. The overall number of new home registrations is virtually identical to the same period last year when 35,954 new homes were registered in the UK.
It noted that the affordable sector was up 18% with 9,191 new homes registered compared to 7,764 in Q3 2015, while 26,762 new homes were registered in the private sector, a 5% decrease on the 28,190 a year ago.
The number of new home completions for the Q3 period increased by 5% (33,341 versus 31,759 last year) when compared to the same period 12 months ago, mirroring the strong growth seen in registrations in previous quarters.
These figures come alongside the Construction Product Association’s latest Construction Trade Survey, which shows that the construction industry grew for a 14th consecutive quarter in Q3.
Firms across all areas of construction reported an increase in activity, including building contractors, SMEs, specialist contractors, civil engineers and product manufacturers.
Indicators of future growth weakened, however, and activity may be severely hindered by inflationary pressures caused by rising wages and imported raw materials costs.
Suzannah Nichol, chief executive of Build UK, said: “While the industry demonstrated its resilience by continuing to grow during Q3, we can see that projects are increasingly affected by construction’s skills challenges. By getting behind the recommendations of the ‘Farmer Review’ and delivering on the industry’s commitment at the Construction News Summit Skills Hack to reform the skills system, we can address these challenges and achieve change throughout the supply chain.”
