The industry saw £6.1 billion of construction contract delivered in March, which represents a 10% increase on February’s figure, according to the latest Barbour ABI Economic & Construction Market Review.
The commercial and retail sub-sector saw contract values rise by 25% and infrastructure saw a 30% leap – with an extra £500 million brought in compared to the previous month.
Michael Dall, lead economist at Barbour ABI, said it was “encouraging to see the industry pick up the pace after a lacklustre start to the year”.
“Housebuilding once again continues to storm ahead in the industry, as housebuilders continue to try to keep pace with the demand and appetite for new housing,” he continued.
“With both the commercial & retail and infrastructure sectors increasing their levels of activity in March, it would be good to see this continue and take some of the pressure away from private housing, which has been the only sector that has continually grown and at times propped up the industry in recent years.”
He also predicted the upcoming vote on the UK’s membership of the European Union may have an impact on construction in the run-up to June.
“With the EU referendum looming, this will be interesting to follow over the coming months to see what affect it will have across the construction sector as there is anecdotal evidence to suggest this is starting to make an impact on investment decisions inside the boardrooms of construction firms,” he added.
