Autumn Statement 2016: Infrastructure boom to provide Brexit boost for construction sector

Jake Cordell
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Train being lifted onto tracks
It's full steam ahead for the UK construction sector - after a few years of turmoil (Source: Getty)

The construction industry looks set to be the shining light of the UK’s post-Brexit economy as the industry benefits from an infrastructure spending spree over the next decade.

Researchers at BMI Research, part of the Fitch Group, which also owns the powerful ratings agency, said the construction sector will grow at a rate of 2.8 per cent between 2018 and 2025, thanks to airport expansion, HS2 and a residential housebuilding boom.

With the government announcing a decision on airport expansion next week, and Philip Hammond gearing up to unveil a big dose of infrastructure spending in his Autumn Statement at the end of November, BMI said the medium-term outlook was looking positive for the industry.

The group was previously estimating an annual growth rate of 2.6 per cent for the industry, but noted today: “We have upgraded our forecasts … as the government begins to confirm a series of large-scale projects which have long been delayed, as well as announce new measures to boost homebuilding.”

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