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Construction output continues to fall in Scotland

Latest gross domestic product (GDP) figures for the Scottish economy out today show a fourth consecutive drop of construction output.

In third quarter of 2011, output from the industry fell by 1.2%. This followed falls in output of 1.3%, 1.8% and 1.4% over the preceding three quarters.

Scottish Building Federation chief executive Michael Levack said this has resulted on the loss of 30,000 construction jobs between September 2010 and September 2011.

“I can only reiterate my plea to ministers at Westminster and Holyrood to re-assess their spending priorities in favour of greater capital investment, to accelerate badly needed reforms to the planning and procurement systems to help get more projects off the ground and to further bolster support for apprenticeships and skills development in our industry,”” said Levack.

Northern Ireland results

There was better news in Northern Ireland’s construction sector where output increased by 0.8% in the third quarter of 2011. This was the first quarterly increase since 2008 but is still 12.5% lower than in the third quarter of 2010.

However, the total volume of new work in the third quarter of 2011 decreased by 1.8% and was 19.3% lower comparted to the third quarter of 2010. In contrast, the volume of new work in Great Britain has increased by 11.5% over the same time period.

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