House-building continued to grow in the UK in February, according to a report.
It follows announcements in the Chancellor’s Budget statement this week that revealed the Help to Buy equity loan scheme will now be extended until 2020.
Residential construction accounted for more than one-third of all UK contracts awarded by value in February, totalling more than £1.83 billion – a significant increase of 72 percent on the same month last year.
These latest figures, taken from Barbour ABI’s Economic and Construction Market Review, also reveal that London is still the country’s house-building capital, with 17.5 percent of all residential construction contracts located in the city. Key projects include phase one of the development at One Woolwich, worth £35 million, the £25 million transformation of 60 Commercial Road near London Metropolitan University into student accommodation and the West Hampstead private residential scheme valued at £25 million.
Trading updates from most the UK’s major house builders reflect the residential construction sector’s resurgence over the past twelve months. Bovis and Taylor Wimpey both posted full-year profit increases of 39 per cent, Persimmon is up 49 per cent and Barratt Homes has reported a 162 per cent increase in profit for the six months to the end of December 2013.
The Economic and Construction Market Review is a monthly report designed to give valuable, current insight into UK construction industry performance. It is compiled from Barbour ABI’s records of construction data for every UK planning application, and key indicators, such as the Office for National Statistics’ Construction New Orders data.