Construction Output to Fall including the wood flooring industry

Posted on August 4, 2023

News

Understanding the Downturn: How Falling Construction Output Affects the Wood Flooring Sector

According to the latest reports, output throughout the construction industry, including the flooring industry, is set to fall over the next two years. The Construction Products Association says that while the industry, including the flooring industry, which deals with such things as wood floor restoration, showed signs of recovery over last year, new estimates predict a fall of around 1% during this year and a further fall of at least 2% across the whole of next year, ultimately coming to 3% less than in the pre-recession period of 2007.

Construction work in the public sector, such as new flooring for government buildings, is likely to fall by as much as £11 billion within the next four years. However, it is expected to rally in the private sector, with growth predicted in areas like the retail sector and offices, where a rise in output of no less than 14% is currently expected.

“It is especially worrying that the construction industry is going to face another two years of fall in output,” says the Chief Executive of the Construction Products Association, Michael Ankers, “particularly given it is an industry that has been identified in the government’s Growth Plan as having a key part to play in the economic recovery. Significant cuts in public spending are inevitable while the private sector remains cautious about the pace of the wider economic recovery and consumer confidence remains at low levels.”