The UK construction sector in the South West showed mixed performance in June 2024. While detailed planning approvals fell both quarterly and annually, there was a noticeable increase in project commencements and main contract awards.
- Detailed planning approvals in the South West fell in comparison to the previous quarter and the same period last year.
- The South West experienced a positive trend with an increase in project starts, reflecting a proactive shift in the sector.
- Main contract awards saw an uptick when reviewed against the previous three months, indicating renewed vigour.
- Overall construction work commencing on site in the South West reached a notable £1.61 billion.
The construction landscape in the South West of the UK displayed contrasting elements in June 2024. While there was a decline in detailed planning approvals compared to both the preceding quarter and the same timeframe last year, this downturn was counterbalanced by an upswing in project initiation and main contract awards.
In particular, there was a remarkable rise in project commencements across the region, signalling a robust recovery and a commitment to advancing new developments. This momentum in starting new projects highlights a shift towards rejuvenating construction activity in the region.
Furthermore, the main contract awards, which are crucial indicators of future construction activities, have increased when compared with the previous three months. Such an increase points towards a renewed confidence amongst contractors and stakeholders, laying the groundwork for relentless progress in the construction endeavours.
The cumulative value of these construction activities commencing on site in the South West totalled an impressive £1.61 billion, underscoring the significant financial investments being channelled into the region. This level of investment is a testament to the optimism and potential growth within the construction industry in the South West.
The South West evidences both challenges and opportunities, with significant investments indicating promising growth despite hurdles in planning approvals.
