PRESSURE ON resources caused by the 2012 Olympic Games infrastructure programme will drive up tender inflation in London by 0.5%, construction economists said this week.
Inflation will rise on the back of a projected 45% rise in construction output in the south east as a result of the Games and other major infrastructure projects. But onsultant ranklin & Andrews said inflation could be kept in check if the industry worked collaboratively and drew resources from outside the region.
'Greater London tender inflation itself is forecast to rise on average by 6.5% per year throughout this period for all construction sectors, ' says a report by Franklin & Andrews.
'(This is) a daunting figure but one which should be compared to the last five years where an average of 6% per annum has been recorded'.
The full report will be presented in detail at NCE's 'Games Briefing' conference next week.
INFOPLUS For more details go to www. nceplus. co. uk/events