Health sector provides a shot in the arm for construction

THE UK health sector is set to provide a shot in the arm for the construction industry according to findings from Barbour ABI, a chosen provider of data to the Office for National Statistics (ONS) and the Government.

The value of schemes at Detail Planning stage increased by 62.7 per cent in 2014, compared to the same period in 2013, and suggests a significant volume of work is in the pipeline for the coming years.

Construction growth across the medical and health sector was modest last year at 8.5 per cent (£2.3 billion) but plans for large scale projects and the development of known schemes including the new £250 million suite at Manchester’s Christie Hospital mark a future boost in activity.

Michael Dall, lead economist for Barbour ABI, said, “An aging population is adding huge pressures to the health sector and more facilities are being built to accommodate demand despite talks of budget cuts across the board. The allocated spend of £4.7 billion for health and social care during 2015-16 under the national infrastructure plans also suggests that improvements in activity levels will continue in the medium term. Whether this spending is enough to meet the increasing demands on the NHS in particular remains to be seen.”