Building Cost Information Service (BCIS) has published its outlook for the construction industry for 2024.
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… growth in tender prices followed a downward trend in 2023…
BCIS writes:
… Our team of experts has taken a look back at the year (so far), at the industry’s levels of productivity, movement in input costs, and the tendering environment.…
The outlook for 2023 was certainly bleak but, while GDP is now only 1.7% higher than pre-COVID levels, widely held expectations of recession have not come to pass….
The volatility of materials prices, which characterised 2022, has cooled….
Output
The latest output data we have, covering the first three quarters of 2023, shows all work was up by 2.0% compared with the final three quarters of 2022….
Infrastructure has shown positive growth in 2023, up 6.3% in 1Q2023-3Q2023 on the last three quarters of 2022. We’re forecasting a 4.6% increase overall for 2023….
With maintenance budgets in the public sector already under pressure, the RAAC situation has proved exactly why investment in ongoing maintenance work – to keep buildings operational and their users safe – is so crucial.
Construction costs
While the volatility of materials costs dominated 2022, much cooler prices have become the norm in 2023….
Tender Prices
Annual growth in tender prices followed a downward trend in 2023….
The bigger picture
One of our highlights at BCIS in 2023 was launching the Built Environment Carbon Database, a collaborative project with support from across the industry, to facilitate consistent carbon estimating…
