….. that “The outlook for the construction sector remained difficult to predict given the instability in the political sphere and the continued uncertainty that this has created for not only the construction sector but also the wider UK economy. Whilst the construction pipeline remains positive, the continued caution within the market for some sectors persists.”
Statistically speaking, Education construction output decreased by 8% in 2018, following growth of 46% between 2013 and 2017. Now that the harsh political climate of 2019 has come to an end and the B(rexit) word is now progressing, will we see the output increase? Knowing that the Department for Education is the single largest client for education construction works, what will the new government have in store and how will this help the education construction sector?
The number of education projects reaching the detailed planning stage through 2018 saw a downward movement of 7%, which meant the outlook for growth throughout 2019 and 2020 through to the medium-term will be lower.
As of June 2019, the education construction pipeline projects were expected to be focused in London, Scotland and the North West of England. This will now be a waiting game to see which projects get through to the detailed planning stage and, more pertinently, to output.
The £1.4bn Free Schools Programme, which aims to open 500 new schools by the end of 2020-21, is also behind schedule, with the majority of funding not expected to be used until some point in 2020.
The Education Construction Market Report – UK 2019-2023 is available now and can be ordered here.