Report’s gloomy picture of region’s construction sector

The latest RICS Construction Market Survey issued today found that despite an overall improvement in the UK construction market, workloads across almost all sectors in Yorkshire and the Humber fell away during the last quarter.

It was a similar negative picture in other parts of the north of England, as well as Scotland and Northern Ireland, in contrast to London and the South East where workload and employment expectations are positive.

Eleven per cent more surveyors reported that activity in Yorkshire and the Humber decreased rather than increased. The private industrial and public non-housing sectors suffered the most.

Meanwhile, material costs continued to rise in the region, with 62 per cent of surveyors reporting a hike in prices, up from 56 per cent during the previous three months.

However, surveyors in the region report that the cost of hiring tradespeople and professionals continues to slip, reflecting increased competition for jobs.

Looking ahead, more respondents expect employment levels to fall rather than rise in the region over the next 12 months.

Colin Harrop, RICS regional spokesman in Leeds, said: “The figures make undeniably joyless reading for those in the Yorkshire and Humber construction market.

“The numbers do, however, underline the fact there have been few better times for the seemingly rare breed of people that are engaging construction professionals and procuring work.”