The construction industry will not see growth until 2014, a respected report has warned.
The Construction Products Association’s summer forecast predicted that output would fall 4.5% this year, and a further 1.3% next year.
It said the infrastructure sector would then blossom, with rail output to rise by more than half by 2015, and energy construction to double by 2016.
CPA economics director Noble Francis said: “Between now and 2014, total construction is expected to lose £10bn as public sector construction activity falls away sharply.
“Although the medium-term prospects are more encouraging, if the government is serious about lifting the economy out of recession quickly, it needs to ensure that it focuses clearly on public and private investment, rather than a series of announcements and initiatives that lead to very little activity.”