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I N T H I S A P R I L I S S U E …

Contract awards robust for March but delays now hitREAD MORE

Medical & Health sector not impacted by delaysREAD MORE

London is leading region for contract awardsREAD MORE

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http://www.barbour-abi.com

Barbour ABI is the market leading provider of construction intelligence and building project leads. With a team of in-house research specialists and a dedicated chief economist, it provides commercially relevant insight and unique analysis of trends and developments within the building and construction industry. Barbour ABI is the chosen provider of industry data and indicators for GovernmentbodiesincludingtheOfficeforNationalStatisticsandHMGovernmentNationalInfrastructure&ConstructionPipeline,whichoutlines future construction and infrastructure projects where public funding is agreed. Barbour ABI also provides data for independent organisations,suchastheConstructionProductsAssociation.

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AMAResearchiswidelyrecognisedastheleadingspecialistproviderof market research and industry insight to the UK building and construction industry.Publishingover150off-the-shelfmarketreportsandindustryforecast bulletins, the team specialise in building and construction, environmental and a host of other B2B sectors in the UK. These high-quality reports are recognised by many leading UK companies as an essential tool in developing their own marketing and strategic policies.AMAResearchalsooffersabroadrangeofbespokeservicesincludingcommissioned market research projects as well as consumer and business surveys.

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W E L C O M E …

WelcometoourEconomic&ConstructionMarketReview

Designedtoprovideamonthlyoverviewoftheconstructionmarket,Economic&ConstructionMarketReviewincludesindustry insight, market analysis and sector trends. Analysis on the UK regions experiencing the most construction contracts and growth is also detailed, as is insight on the key sectors in growth ordecline.Createdusingourmarketleadingconstructionprojectand company data, this intelligence provides a valuable tool for all those with an interest in construction.

Chosen provider of Construction New Orders estimates to the ONS

Partner of the Infrastructure and Projects Authority in providing the National Infrastructure and Construction Pipeline

Jane TarverEconomic&ConstructionMarketReviewis

co-authored by Jane Tarver, who has worked

atAMAResearchsince1999andhasextensive

research and analysis experience in a number

of construction product areas. Jane is also the

leadwriterandresearcherontheConstruction

ForecastBulletinpublishedquarterlybyAMA

Researchwhichprovidesforecastsfornon-domesticconstructionand

housing,coveringbothnewbuildandRMIinGreatBritain.

Tom HallTomisChiefEconomistatBarbourABI

andAMAResearch,providinganalysisand

economic insight for the construction and

related sectors, assessing the trends and

developments that impact the industry.

Offeringbespokeresearchandtailored

analysis to our clients, Tom also speaks at

industry events and works closely with journalists and other industry

bodies to provide commentary on the built environment.

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http://www.barbour-abi.com/zones/Methodology.pdf

http://www.barbour-abi.com/market-intelligence/market-insight

E C O N O M I C C O N T E X T …

Covid-19deliversthefastestandmostsevere economic shock in history

The coronavirus pandemic is delivering the fastest and most severe economicshockinhistory.Withthesituationmovingtoofastforofficialdata to keep up, the severity of the impact is still unknown. All eyes will turntotheONSinearlyMayforMarch’sGDPfigures,butaQ1reductionof as much as 2% does not seem unlikely.Severaleconomicforecastershavepublishedstudiesontheimpactontheeconomy.However,giventhelackofavailabledatatheyarehighlyuncertain. The range of forecasts published to date produce a drop in GDPofbetween5and35%inQ22020.TheMarkit/CIPSPMIsurveyspublishedinMarchreinforcedthisview,withsentimentplungingatthefastestratesince2009.MostforecastsassumeaV-shapedrecoverywhereeconomicactivityrecovers to near previous levels over the remainder of 2020. This appears unlikely, since the length of time frame restrictions will need to be in placeforisuncertain,andtherestrictionscanonlybeliftedgraduallyto

avoidsecondaryoutbreaks.TheWorldHealthOrganisationiswarningthat there may be multiple stages of outbreaks later in 2020 and into 2021, and the Government is starting to communicate that normal conditions will not be able to return until a vaccine is available.Governments and central banks across the world have responded with thelargesteverstimuluspackages,greaterinscopethanthoseafterthe 2008 crisis. The Bank of England has slashed the base rate to 0.1% andexpandeditsQuantitativeEasingprogramme.TheTreasuryhasannounced several unprecedented measures, including:� cashflowsupportforlargebusiness,� a lending programme for small businesses,� thedeferralofVATpayments,� relaxingrulesonbanks’capitalreserves,� paying80%ofemployees’wageswhoarekeptonbytheiremployer,and� support for self-employed workers.

Risksofwiderfinancialcontagionexistasrecordcommercialdebtlevelsfrom a decade of ultra-low interest rates leaves many businesses weak torevenueshocks.Consumerdebtisalsoatextremelyhighlevels.Withunemploymentincreasing,(1millionpeopleappliedforUniversalCreditina2-weekperiod)manyUKconsumersareexposed.TheONS’smostrecentsurveyoftheUKeconomysuggestedthatoneinfourUKfirmshave temporarily closed or paused trading.As European governments start to consider how to ease their national restrictions, such as re-opening schools and some businesses, the UK Government agreed an extension to the lockdown for a further three weeks. The death toll appears to be stabilising, however without a large-scaletestingregimeitisdifficulttoseehoweasywillbetoremovewidespread movement restrictions in the near term.

Economic indicatorsFebruary’sUKeconomicdatashowedtheUKcontinuingtoflatlinebeforetheCovid-19outbreak.Three-monthaverageGDPgrowthbetweenDecemberandFebruarywasjust0.1%(seefig.1.1).InFebruaryitself,GDPfellby0.1%.AsnotedabovealargefallisexpectedinMarchas lockdown measures hit the economy.Atthesectorlevel,inFebruarytheconstructionsector(seefig.1.2)fellsignificantlyby1.7%.Afterstronggrowthtowardstheendof2019,sofarin2020ithascontractedby2.5%.Rollingthreemonthaveragegrowthis-0.7%.Othersectorsremainedbroadlyflat,withmanufacturingexpandingby0.5%.MostrecentinflationdataforFebruarysuggestpriceincreaseswereholdingsteadyat1.7%.However,theONS’smostrecentUKeconomysurveyfoundthatinflationforconsumergoodswasrisingsharply,withits basket of high demand products surging by 4.4% in the last month.

Amid unprecedented government intervention, the acuteness and duration of the impact is uncertain.

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ECONOMIC CONTE X T 1.1GDP growth | Source:ONS

ECONOMIC CONTE X T 1.2GDP by sector | Source:ONS


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A M J J A S O N D J F M A M J J A S O N D J F M2018 2019 2020

DatafromBarbourABIindicatesthatthetotalvalueofconstructioncontractawardsinMarch2020was£6.9billion,basedonathreemonthrollingaverage(seefig.2.1).HoweverinMarchitselfcontractawardswereweak,fallingto£3.8bnfrom£7.6bninFebruary.InQ12020,thetotalvalueofcontractawardswas£18.9billionwhichis26.0%aheadofthepreviousquarterisalsoa17.0%increaseonQ12019.However,therewas a marked slowdown in the number of contract awards this month at 576whichis42.6%lowerthanFebruary.An instrumental factor in the less positive performance was the adverse winter weather in late January and February with excessive rainfall and floodinginmanyareaswhichmeantmanysiteswereinundatedpreventingany form of works being carried out. Key to the downturn in output was the1.7%declineinrepairandmaintenanceworkswhicheffectivelycancelledoutthe0.6%growthinnewworkfortheFebruary2020quarter.Newworkgrowthsectorsincludedinfrastructurewhichsawoutput

increase by 2.8% on the previous quarter and also public sector new work whichwasupby4.5%.However,privatesectorhousingoutputremainedstatic and there was a 0.4% decline for the private commercial sector as wellas3.4%decreasefortheprivateindustrialsector.However,thelargestdecline was in the private housing sector repair and maintenance works whichdecreasedby5.6%onthepreviousquarterbutwas9.8%lowerthanthecomparablequarterendingFebruary2020(seefig.2.2).WhilsttheMarch2020budgetincludedanumberofmeasuresthatshould have stimulated the construction sector in 2020 and beyond, these have subsequently been overtaken by the situation surrounding Covid-19.Fortheconstructionsectortheimpactofsocialdistancing

3-month contract awards were strong but March’s in-month value falls to £3.8 billion.

Change Dec 19-Feb 20 to Sep 19-Nov 19

Change Dec 19-Feb 20 to Dec 18-Feb 19

Total All Work -0.2 0.5

All New Work 0.6 2.1

• Public Housing -1.7 9.6

• Private Housing 0.0 -0.6

• Infrastructure 2.8 4.7

• Public (ex Infrastructure) 4.5 1.1

• Private Industrial -3.4 0.3

• Private Commercial -0.4 2.6

Repairs & Maintenance -1.7 -2.6

• Public Housing 2.2 8.8

• Private Housing -5.6 -9.8

• Non-Housing 0.1 -0.1

CONSTRUC TION SEC TOR 2.1Construction activity trends | Source:BarbourABI

CONSTRUC TION SEC TOR 2.2Construction activity by sector | Source:ONS

CONSTRUC TION SEC TOR 2. 3Locations of contracts awarded | Source:BarbourABI

T H E C O N S T R U C T I O N S E C T O R …

Contractawardsrobustbutuncertainty lies ahead

9%

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27.6%

15.2%

East Midlands

East of England

London

North East

North West

Scotland

South East

South West

Wales

West Midlands

Yorkshire & Humber


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THE CONSTRUCTION SECTOR… Contractawardsrobustbutuncer taintyliesahead

CONSTRUC TION SEC TOR 2.4Type of projects | Source:BarbourABI

45.4% Residential

8.9% Industrial

7.1% Commercial & Retail

7.9% Hotel, Leisure & Sport

0.8% Medical & Health

7.4% Education

22.4% Infrastructure

%

imposed by the Government has been immense. The initial advice that construction projects should continue has been subsequently superseded by many, but not all, site closures as the impossibility of imposing the two metre rule on many construction trades and the ability to work safely became increasingly apparent. In addition, the fact that many construction workers used public transport in order to get to sites also led to some organisations suspending works on the grounds of being unable to guarantee employee safety. EarlyApril2020hasseenthedelayingofasignificantnumberofprojects and the furloughing of many job functions within construction organisations as well as manufacturers of key materials such as bricks and blocks. In addition, the issue of building materials supply has also been added to the equation with many of the leading merchants operating “only essential works” initiatives as well as restricting access to outlets by operating online ordering and delivery to site policies. At thispointintimetheoutlookfortheconstructionsectorisforsignificantreduction in output over the short-term.

Construction SectorDatafromBarbourABIindicatesthatthetotalvalueofconstructioncontractawardsinMarch2020was£6.9billion,basedonathreemonthrollingaverage(seefig.2.1).Monthlycomparisonsshowthatthisisanincreaseof6.4%onFebruarywhilstannualcomparisonshows29.2%increaseonMarch2019.InQ12020,thetotalvalueofcontractawardswas£18.9billionwhichis26.0%aheadofthepreviousquarterisalsoa17.0%increaseonQ12019.However,therewasamarkedslowdowninthenumberofcontractawardsthismonthat576whichis42.6%lowerthan February.

Project by RegionAnalysisbyregionshowsthatLondonmaintaineditsleadingpositionholdingashareof27.6%ofallconstructioncontractawardsinMarch.ThesecondlargestregionwastheSouthEastwith15.2%ofawardsandwascloselyfollowedbytheYorkshire&Humberregionwhichaccountedfor15.0%ofallconstructioncontractawards.Waleswasagainthesmallestregionwithattributableshareofjust1.1%(seefig.2.3).InMarchLondonwasthelocationforthelargestcontractaward,whichwasthe£500millionPlumstead,WestThamesmeaddevelopmentinWoolwich.TheprojectwillseeBerkeleyHomesEastThamesprovideatotalof915residentialunitsinsevenstructuresaswellasgroundfloorcommercial space. The second largest contract award this month was the£335millionA63CastleStreetImprovementsinKingstonUponHull.AwardedbyHighwaysEnglandtoBalfourBeatty,theprojectinvolvesimprovementsbetweentheStJamesandPorterStreetjunctiontotheMarketPlaceandQueenStreetjunctionandhasa60monthtimeline.ThereweretwocontractawardsvyingforthirdplaceinMarchandwerebothvaluedat£100million.TheLandinginBroadway,MaidenheadwillseeMcAleer&Rusheprovideatotalof375residentialunitsaswellascommercialspaceinfourstructureswhilstintheYorkshire&Humberregionthe£100millioncontractforthePremierOilEasingtonTerminalOnshoreGasPipelinewasawardedtoSaipem.

Rank Project Value (£m) Region Sector

1 Plumstead, West Thamesmead – plots 2, 3, 4, 7 & 8 500 London Residential

2 A63 Castle Street improvements 355 Yorkshire & Humber Infrastructure

3 Premier Oil – Easington Terminal Onshore Pipeline 100 Yorkshire & Humber Infrastructure

4 The Landing, Maidenhead – buildings A, B, C & D 100 South East Residential

5 University of Glasgow – Adam Smith Business School & Post Graduate Hub 86 Scotland Education

6 Oval Gas Works, Kennington Oval – 738 flats, offices & cafe 72 London Residential

7 A19 Norton to Wynyard widening DELAYED 63 North East Infrastructure

8 Camden Town Hall refurbishment DELAYED 63 London Infrastructure

9 44 Clapham Common, South Side – 296 flats and commercial development 60 London Residential

10 Birmingham 2022, Commonwealth Games – Alexander Stadium redevelopment DELAYED 60 West Midlands Hotel, Leisure & Sport

CONSTRUC TION SEC TOR 2.4Top ten biggest projects by value | Source:BarbourABI

Types of ProjectTheresidentialsectormaintaineditsleadingpositioninMarchaccountingfor45.4%ofallconstructioncontractawards.Withashareof 22.4% of awards, infrastructure was the second largest sector this month and was followed by the industrial sector with attributable share of8.9%(seefig.2.4).ThelargestresidentialawardthismonthwasthePlumstead,WestThamesmead development in Woolwich which will also include 5,303sqmofcommercialspace.ThelargestinfrastructureawardwastheA63CastleStreetImprovementsinKingstonUponHullwhichwillalsoincludeanewbridgeandinfrastructureimprovements.Rochesterwas the location for the largest industrial contract award which was the£35.5millionPlot1bLondonMedwayCommercialParkwhichwillprovideanew35,554sqmwarehousefacility.

COVID-19 UPDATE209 PROJECTS DELAYED

Due to the impact of Covid-19 209 of the contract awards reported on in March 2020 have now been put on hold at a total value of £1.2 billion


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whichwillseeMcAleer&Rusheprovideatotalof375apartmentsinfourstructuresona1.36hectaresite.ProjectcompletionisdueinQ42023.TheSouthWestwasthethirdlargestregionthismonthaccruing7.5%ofawards,remainingatthesamelevelasMarch2019.Valuedat£35milliontheTotterdownReachdevelopmentwillseeMidGroupprovideatotalof160residentialunitsaswellasanofficeatthesiteoftheformerEssogarageinBathRoad,Bristol.

Type of projectsAnalysis by sector shows the dominance of private housing this month with93.2%ofawardswhichisa0.6%increaseonMarch2019(seefig.3.4).Theonlyothersectorwithattractinganysignificantshareofcontract awards this month was housing associations with 4.1% which is an improvement of 1.1% on a year ago.

InMarch,thevalueofresidentialcontractawardswas£2.8billionbasedonathreemonthrollingaverage(seefig.3.1).Monthlycomparisonindicatesthatthisis7.5%higherthanFebruaryandisalso55.0%aheadofMarch2019.QuarterlyanalysisshowsthatinthethreemonthperiodtoMarch2020,thetotalvalueofresidentialcontractawardswas£7.1billion.Thisisanincreaseof36.0%onFebruaryandisalso44.8%higherthanforQ12019.ThenumberofresidentialunitsinMarchwas11,535basedonathreemonth rolling average. This is an increase of 12.4% on February and is also12.7%aheadofMarch2019.

House pricesAnnual house price growth continued to be positive this month with theHalifaxindicatingthathousepricesinMarch2020were3.0%higherthanayearago.Meanwhile,Nationwidereportedthathousepricesincreasedby0.8%inMarchcomparedtoFebruaryandthattheaveragepriceincreasedto£219,583comparedto£216,092intheprevious month.

Projects by regionRegionalanalysisshowsthatLondonwasagaindominantinMarchaccountingfor51.3%ofallresidentialcontractawardswhichisanincreaseof22.2%onMarch2019(seefig.3.2&3.3).ThelargestresidentialawardinLondonthismonthwasthe£500millionPlumstead,WestThamesmeaddevelopmentwhichwillseeBerkeleyHomesEastThamesprovideatotalof915apartmentsaswellas289parkingspaceswithprojectcompletiondueinSeptember2025.ThesecondlargestregioninMarchwastheSouthEastwhichaccountedfor14.0%ofallresidentialcontractawards.Thisisanimprovementof3.2%onayearago.Maidenheadwasthelocationforthelargestresidentialcontractawardthismonthandwasthe£100millionTheLandingatBroadway

London is leading region with contract awards dominated by private sector housing.

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RESIDENTIAL 3.1Project value showing 3 month moving average

Source:BarbourABI

RESIDENTIAL 3.4Type of projects awarded | Source:BarbourABI

%

-0.3% East Midlands

-18.1% East of England

+22.2% London

+2.4% North East

-4.2% North West

+4.3% Scotland

+3.2% South East

0.0% South West

-4.1% Wales

-6.0% West Midlands

+0.6% Yorkshire & Humber

RESIDENTIAL 3.2Proportional change in regional activity (YonY)Source:BarbourABI

RESIDENTIAL 3. 3Value of contracts by region | Source:BarbourABI

93.2% Private Housing

4.1% Housing Association

1.0% Local Authority

0.0% Sheltered Housing

1.7% Hostels/Halls of Res./Barracks

0.0% Elderly Persons/ Childrens Homes

Arrows indicate change since March last year

R E S I D E N T I A L …

Upward trend continues with 7.5%increaseinawards

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51.3%

UPDATE Due to the impact of Covid-19 52 of these projects have now been put on hold at a total value of £462 million*

*Contract awards reported on in March 2020


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RESIDENTIAL… Upwardtrendcontinueswith7.5%increaseinawards

TOP TEN

Key ClientsApr 2019 – Mar 2020

TOP TEN

Key ArchitectsApr 2019 – Mar 2020

TOP TEN

Key ContractorsApr 2019 – Mar 2020

The ranking tables are compiled from Barbour ABI database and are based on the total value of contracts awarded over the previous 12 month period. The values represent the construction cost of each project.

TOP TEN

ProjectsContract awarded March 2020

Rank Company Name Awards Value (£m)

1 Persimmon Homes Limited 134 2174

2 Barratt Homes 119 2127

3 Taylor Wimpey 92 1493

4 Bellway Homes 93 1377

5 The Berkeley Group 23 1270

6 Redrow Homes Limited 59 938

7 Peabody Trust 4 638

8 Countryside Properties (UK) Limited 31 584

9 Bloor Homes 31 552

10 Far East Consortium International Limited 1 470

Rank PID Project NameValue(£m) Details

1 12491792LONDONPlumstead, West Thamesmead – plots 2, 3, 4, 7 & 8

500Date: Sep 2020 – Sep 2025Funding: PrivateContractor: Berkeley Homes East Thames

2 12124121SOUTH EASTThe Landing, Maidenhead – buildings A, B, C & D

100Date: Mar 2020 – Dec 2023Funding: MixedContractor: McAleer & Rushe

3 12331071LONDONOval Gas Works, Kennington Oval – 738 fl ats, off ices & cafe

72

Date: Jan 2020 – Jan 2024Funding: PrivateContractor: Berkeley Homes (South East London) Limited

4 12268670

LONDON44 Clapham Common, South Side – 296 fl ats and commercial development

60Date: Jul 2020 – Jul 2022Funding: PrivateContractor: Henry Construction Projects Limited

5 12271024

NORTH WESTOrdsall Lane Dock 5 development – 394 fl ats & retail units

48Date: Mar 2020 – Jan 2023Funding: PrivateContractor: Bridgestone Construction Limited

6 12268164YORKS & HUMBERThe Cocoa Works – 263 apartments & retail

45Date: Sep 2020 – Sep 2022Funding: PrivateContractor: Sir Robert McAlpine & Sons Limited DE

LAYE

D

7 12291604LONDONDora House regeneration – phase 2

40Date: Sep 2020 – Oct 2022Funding: TBCContractor: Regal London DE

LAYE

D

8 12399198LONDONAlperton House, Bridgewater Road – mixed development

39.2Date: Feb 2020 – Feb 2024Funding: PrivateContractor: Redrow Homes (London) Limited

9 12492101EAST OF ENGLANDTudor Nurseries – 301 houses/59 fl ats/retail unit

36Date: Jul 2020 – Jul 2023Funding: PrivateContractor: Redrow Homes Eastern DE

LAYE

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10 12389267SOUTH WESTTotterdown Reach – 160 fl ats/off ices

35Date: Jul 2020 – Nov 2022Funding: PrivateContractor: Mid Group DE

LAYE

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2 McBains 19 811

3 Lifschutz Davidson Sandilands 3 735

4 Pegasus Group 47 624

5 HTA Design LLP 16 594

6 JTP 29 554

7 PRP Architects 23 541

8 EMA Architecture & Design 36 533


10 Assael Architecture Limited 5 404



2 Barratt Homes 116 1969


4 Bellway Homes 94 1352

5 The Berkeley Group 24 1273

6 Redrow Homes Limited 60 941

7 Vistry Partnerships 54 709

8 Hill Partnerships Limited 30 563

9 JRL Environmental Limited 3 512

10 Bloor Homes 31 507


Due to the impact of Covid-19 52 of these projects have now been put on hold at a total value of £462 million*

*Contract awards reported on in March 2020Hinderton Point, Lloyd Drive, Cheshire Oaks, Cheshire, CH65 9HQ

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awardwasmadebyHighwaysEnglandtoBalfourBeattyandwasthe£63millionwideningoftheA19betweenNortonandWynyardnearBillinghaminCleveland.This27monthprojectwillincludewideningtheBillingham bypass to three lanes each way and replacing the current concrete surface with new low noise surfacing.

Type of projectsThe inclusion of several large road schemes meant that the civil engineering sector had the largest share of infrastructure contract awardsinMarchat60.3%(seefig.4.4).Thisis16.3%higherthanayearago.Attracting19.0%ofawards,theutilitiessectorwasinsecondplacethismonth,withshareincreasingby6.3%comparedwithMarch2019.Thecivic&publicsectorwasthirdlargestsectorinMarchattracting12.0%ofawards,whichis2.7%higherthanMarch2019.

InMarch,thevalueofinfrastructurecontractawardswas£2.1billionbasedonathreemonthrollingaverage(seefig.4.1).Thisis10.4%aheadofFebruaryandalso146.1%higherthanMarch2019.ThetotalvalueofinfrastructurecontractawardsinQ12020was£5.6billion.Thisis127.8%higherthanQ42019andisalso47.5%higherthanforQ12019.Infrastructurecontractawardsreachedanew24monthpeakinMarch,underlining the upward trend of the previous two months. The outlook is for continued improvement in output levels over the medium-term but with stage completions of larger projects likely to provide a smoothing effectontheoutputcurve.

Projects by regionYorkshire&HumberdominatedinMarchattracting55.8%ofallinfrastructurecontractawards.Thisisanincreaseof50.1%comparedwithMarch2019(seefig.4.2&4.3).ThelargestoverallinfrastructureawardinMarchwastheA63CastleStreetImprovementsinKingstonUponHullwhichwasvaluedat£355million.DueforcompletioninMarch2025,this60monthprojectwillseeBalfourBeattyundertakeworks to include the diversion of utilities, the lowering of Ferensway andCommercialRoadaswellastheprovisionofanewbridgeandroadwideningworks.ThedominanceofYorkshire&Humbermeantthat all other regions have a much smaller share of contract awards in March.Londonwasthesecondlargestregionthismonthwith8.5%shareofawards,whichisanincreaseof3.2%onayearago.ThelargestawardfortheregioninMarchwasinthecivic&publicsectorandwasthe£63millionCamdenTownHallRefurbishmentproject.Themaincontractoronthis20monthprojectisLeandleaseLimitedwithTClarkeGroupappointedasM&Esubcontractor.Onlyslightlybehindinthirdplacewithashareof8.3%ofinfrastructureawardswastheNorthEast,howeverthisis9.4%lowerthaninMarch2019.Thelargestcontract

Yorkshire & Humber the lead region with £355 million A63 improvements the key award.

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INFR A STRUC TURE 4.1Project value showing 3 month moving average

Source:BarbourABI

INFR A STRUC TURE 4.4Type of projects awarded | Source:BarbourABI

%

-3.3% East Midlands


+3.2% London

-9.4% North East

-14.5% North West

-1.5% Scotland

+2.3% South East

-1.1% South West

-1.5% Wales

-21.2% West Midlands


INFR A STRUC TURE 4.2Proportional change in regional activity (YonY)Source:BarbourABI

INFR A STRUC TURE 4. 3Value of contracts by region | Source:BarbourABI

8.4% Transport

12.0% Civic & Public

19.0% Utilities

60.3% Civil Engineering

0.3% Miscellaneous


I N F R A S T R U C T U R E …

Awards reach 24 month peak of£2.1billioninMarch

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55.8%

8.5%


UPDATE Due to the impact of Covid-19 42 of these projects have now been put on hold at a total value of £226.7 million*


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INFR ASTRUCTURE… Awardsreach24monthpeakof£2.1billioninMarch

TOP TEN


TOP TEN


TOP TEN



TOP TEN



1 Highways England 45 2429

2 SSE Renewables Developments 1 2000

3 Equinor ASA Limited 1 2000

4 Sellafi eld Limited 1 1500

5 Transport for London 3 1212

6 HS2 3 1017

7 Network Rail Infrastructure Limited 82 456

8 West Midlands Combined Authority 1 344

9 United Utilities Plc 4 307

10 Biff a Waste Services Limited 2 255


1 11859850YORKS & HUMBERA63 Castle Street improvements

355Date: Mar 2020 – Mar 2025Funding: PublicContractor: Balfour Beatty

2 12449307YORKS & HUMBERPremier Oil – Easington Terminal Onshore Pipeline

100Date: Oct 2018 – Dec 2020Funding: Mainly PrivateContractor: Saipem

3 12142461NORTH EASTA19 Norton to Wynyard widening

63Date: Aug 2020 – Aug 2022Funding: PublicContractor: Balfour Beatty Group Limited DE

LAYE

D

4 12287621LONDONCamden Town Hall refurbishment

63Date: Feb 2020 – Nov 2021Funding: PublicContractor: Lendlease Limited DE

LAYE

D

5 12009650SOUTH EASTRedhill Railway Station – redevelopment

40Date: Aug 2020 – Oct 2022Funding: PrivateContractor: Vinci Construction

6 12491697SCOTLANDWinchburgh WwTW upgrades

21Date: Oct 2020 – Oct 2022Funding: PublicContractor: ESD

7 12359891SOUTH WESTWhite Hart Junction improvements – Swindon

18.9Date: Jul 2020 – Dec 2021Funding: PublicContractor: Geoff rey Osborne Limited DE

LAYE

D

8 12129024

YORKS & HUMBERA57/A628 Trans-Pennine upgrade – A616/A61(T) Westwood roundabout

17Date: Mar 2020 – Oct 2021Funding: PublicContractor: Balfour Beatty Construction Services UK

9 12492267

EAST OF ENGLANDWintringham Park redevelopment – eastern primary route

15Date: Sep 2020 – TBCFunding: PrivateContractor: J Breheny Contractors Limited DE

LAYE

D

10 12493352SCOTLANDDalgety Bay – Radioactive Pollution Removal

10.5Date: TBC – Oct 2021Funding: PublicContractor: Balfour Beatty Construction Services UK


1 Wilkinson Eyre Architects 1 1000

2 Mott MacDonald Group Limited 9 236

3 Fisher German 1 180

4 Jacobs Limited 5 155

5 Weedon Partnership 2 151

6 Capita Group 8 130

7 Pembrokeshire Design Limited 1 100

8 Holder Mathias Architects 1 89

9 Gebler Tooth Architects 1 60

10 National Grid Metering Limited 1 50


1 Morgan Sindall Plc 8 1592

2 Doosan Babcock Power Systems 1 1500

3 Wood Group 1 1500

4 KBR 1 1500

5 Riverlinx Consortium 1 1200

6 Balfour Beatty Group Limited 32 1200

7 Balfour Beatty VINCI SYSTRA JV 1 1000

8 Galliford Try Construction 18 865

9 VolkerWessels UK 25 699

10 Midland Metro Alliance 1 344



Due to the impact of Covid-19 42 of these projects have now been put on hold at a total value of £226.7 million*


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comparestoashareofjust3.5%inMarch2019.ThelargestcontractawardfortheregioninMarchwasthe£30millionZurichProject–NorwoodwhichisbasedatKimmerfieldsinSwindon.ThesuccessfulcontractorwasSkanskaandtheprojectinvolvestheconstructionofanewsevenstoreyofficebuildingwith15carparkingspacesandassociated landscaping and access works.

Type of projectsOfficesmaintainedtheirdominantpositioninMarchattracting77.6%ofallcommercial&retailcontractawards,anincreaseof1.2%onMarch2019(seefig.5.4).Witha10.5%shareofawards,generalretailingwasthesecondlargestsectorthismonthbutthisisadecreaseof3.3%onayearago.Shoppingcentreswerethethirdlargestsectorattracting9.3%ofawardsandwhichcomparestoshareofjust2.6%inMarch2019.

Commercial&retailcontractawardsinMarchwerevaluedat£730millionbasedonathreemonthrollingaverage(seefig.5.1).Thisis3.6%lowerthanFebruaryandalso14.4%lowerthanMarch2019.InQ12020,thetotalvalueofcommercial&retailcontractawardswas£2.4billion.Thisis21.7%higherthanQ42019butisadecreaseof7.6%whencomparedwithQ12019.AlthoughMarchdataremainedpositive,thecommercial&retailsectorfaces continued uncertainty which has been further compounded by Covid-19.FurtherAdministrationcasesintheretailsectorthismonth,mostnotablyDebenhams,haveaddedamorenegativeslanttotheoutput forecasts for some traditional retail sectors - department stores in particular.

Projects by regionRegionalanalysisindicatesthatLondonmaintaineditsleadingpositioninMarch,attracting24.1%ofallcommercial&retailcontractawards.However,thisisadecreaseof8.3%comparedwithayearago(seefig.5.2&5.3).ThelargestcontractawardforthissectorinLondonthismonthwasthe£20million,155BishopsgateRefurbishment.TheprojectwillseeOverburyplcrefurbishthefirstninestoreysoftheexistingbuildingtoprovideimprovedandflexibleoffice,retailandleisurespaceaswellasassociatedlandscapingworks.Witha19.6%shareofcontractawards,theSouthEastwasthesecondlargestregioninMarch,howeverthisis2.6%lowerthanforMarch2019.Staineswas the location for the largest award this month which was the £30millionOneCausewayParkmixed-usescheme.BAMConstructionwas the successful contractor and the company will provide a new Aldisuperstorewithanadditional8,047sqmofofficespaceanda364spacemulti-storeycarpark.TheSouthWestwasthethirdlargestregionthismonthwithattributableshareof15.5%ofawardsandwhich

London retains lead region status boosted by 155 Bishopsgate refurbishment project.

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COMMERCIAL & RETAIL 5.1Project value showing 3 month moving average

Source:BarbourABI

COMMERCIAL & RETAIL 5.4Type of projects awarded | Source:BarbourABI

%

+0.5% East Midlands

+3.6% East of England

-8.3% London

+6.7% North East

-12.0% North West

+2.4% Scotland

-2.6% South East

+11.9% South West

+0.8% Wales

+1.0% West Midlands

-4.1% Yorkshire & Humber

COMMERCIAL & RETAIL 5.2 | Source:BarbourABI

Proportional change in regional activity (YonY)

COMMERCIAL & RETAIL 5. 3Value of contracts by region | Source:BarbourABI

C O M M E R C I A L & R E T A I L …

Further decline with awards down3.6%inMarch

2.4%

8.8%

7.5%

8%

3.4%

19.6%15.5%

0.9%

5.8%

4.1%

24.1%

77.6% Off ices

9.3% Shopping Centres

2.6% Food Retailing

10.5% General Retailing

0.0% Retail Warehouse & Garden Centres





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COMMERCIAL & RETAIL… Fur therdeclinewithawardsdown3.6%inMarch

TOP TEN


TOP TEN


TOP TEN



TOP TEN



1 Meyer Bergman Property Investments 3 550

2 Canary Wharf Group PLC 1 400

3 Vanquish Properties (UK) Limited Partnership 1 400

4 Finchatton 3 252

5 Old Park Lane Management Limited 1 250

6 Drum Property Group 4 219

7 London & Continental Railways 1 200

8 British Land Corporation Plc 4 182

9 Lidl UK GMBH 44 118

10 Manchester Airport Group Plc 3 108


1 12398037SOUTH WESTZurich – Project Norwood

30Date: Aug 2020 – Mar 2023Funding: PrivateContractor: Skanska DE

LAYE

D

2 12428927SOUTH EASTOne Causeway Park, Staines – off ice/Aldi food store

30Date: Jul 2020 – Jul 2021Funding: PrivateContractor: BAM Construction DE

LAYE

D

3 12266914

EAST OF ENGLANDBircherley Green Shopping Centre, phase 2 – retail, residential and bus station

21.8Date: Jul 2020 – TBCFunding: PrivateContractor: Chase New Homes

4 12457694LONDON155 Bishopsgate – refurbishment

20Date: Mar 2020 – TBCFunding: PrivateContractor: Overbury Plc

5 12489170SOUTH EASTRhodes House – South Parks Road

20Date: Jul 2020 – Jul 2022Funding: PrivateContractor: Beard Limited

6 12159909LONDONTemplar House, High Holborn – redevelopment

17Date: Mar 2020 – Jun 2021Funding: PrivateContractor: OD Group

7 12493152NORTH EASTCostain Jacobs Partnership – regional hub

11.9Date: Jul 2020 – Apr 2022Funding: PrivateContractor: Costain Group Plc

8 12468847NORTH WESTBooths Park, plot 6 – off ice

9.8Date: Mar 2020 – Sep 2021Funding: PrivateContractor: GMI Construction Group Plc

9 12460574NORTH EASTFujifi lm Diosynth Project Meridian – phase 1

7.8Date: Mar 2020 – Mar 2021Funding: PrivateContractor: Willmott Dixon

10 12430174SCOTLANDOceaneering, D2 Business Park – off ice

7

Date: Jan 2020 – Apr 2021Funding: PrivateContractor: Morrison Construction Services Limited Galliford Try DE

LAYE

D


1 MAKE Architects 2 650

2 Adamson Associates (International) Limited 1 400

3 Kohn Pedersen Fox (International) PA 1 400

4 Spparc Architecture 1 300

5 Allford Hall Monaghan Morris 6 291

6 Foster & Partners 2 250

7 Corstorphine & Wright 9 249

8 Stallan Brand Architecture And Design Limited 5 222

9 EPR Architects Limited 2 202

10 Stiff & Trevillion Architects Limited 5 171


1 ISG 24 534

2 Mace Limited 5 487

3 Canary Wharf Group PLC 1 400

4 Skanska UK 2 400

5 Wates Construction Limited 5 320

6 Bowmer & Kirkland Limited 14 260

7 Laing O'Rourke 3 252


9 John Graham Construction Limited 6 152

10 Willmott Dixon Construction Limited 9 139





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regionthismonthandwasvaluedat£20million.AwardedtoPellikaanConstruction,theprojectinvolvestheconstructionofanewleisurecentre, library, commercial unit and restaurant following the demolition of the existing buildings on the site.

Type of projectsInMarchthelargestsectorwashotels&motelswhichattracted36.4%ofallhotel,leisure&sportcontractawards(seefig.6.4).However,thisisadecreaseof17.5%onayearago.Attracting21.9%ofawards,leisurecentres were the second largest sector this month with share having increasedby14.5%onMarch2019.Arenas&stadiawerethethirdlargestsectorinMarchwith20.5%ofcontractawardshowever,thisis1.3%lower than a year ago.

DataforMarchshowsthatthevalueofcontractawardsforthehotel,leisure&sportsectorincreasedby9.8%onthepreviousmonthtoreach£382million,basedonathreemonthrollingaverage(seefig.6.1).However,annualcomparisonsshowthatcontractawardshavedecreasedby39.2%onMarch2019.Quarterlyanalysisindicatesthatthetotalvalueofhotel,leisure&sportscontractawardsinQ12020was£1.1billion.However,thisis29.8%lowerthanQ42019andalso28.9%lowerthanforQ12019.

Projects by regionThere was a more even regional spread of awards this month with no singleregionattractingshareofmorethan23%.TheWestMidlandswastheleadingregioninMarchwith22.7%ofawardsandwhichcomparestoshareofjust7.8%inMarch2019(seefig.6.2&6.3).ThelargestcontractawardfortheWestMidlandsthismonthwastheBirmingham2022CommonwealthGamesAlexanderStadiumRedevelopmentwhichwasvaluedat£60million.TheworkswillincludetheerectionofanewWestStandaswellasupgradestothetrackandstadiumlightingwiththemaincontractorbeingMcLaughlin&HarveyandwithDSMDemolitionappointedasdemolitionsubcontractor.Attracting15.6%ofawards,theNorthWestwasthesecondlargestregioninMarchbutwithsharehavingdecreasedby3.7%comparedwithayearago.Blackpoolwasthe location for the largest contract award this month which was the £17millionTalbotGatewayPhase2.TheprojectwillseeRobertsonGroup(North)buildanewsixstorey,142bedroomhotelwithconferenceandrestaurantfacilitiesonthesiteoftheformerWilkinson’sstoreinthetownwiththeprojectdueforcompletioninQ42022.ThethirdlargestregionwastheSouthEastwithattributableshareof11.1%ofawards,anincreaseof5.5%comparedwithMarch2019.TheCarnivalPoolSite,Phase2inWokinghamwasthelargestcontractawardforthe

£60 million Alexander Stadium refurbishment underpins West Midlands as lead region.

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HOTEL, LEISURE & SPORT 6.1Project value showing 3 month moving average

Source:BarbourABI

HOTEL, LEISURE & SPORT 6.4Type of projects awarded | Source:BarbourABI

%

+8.0% East Midlands

0.0% East of England

-7.9% London

-0.3% North East

-3.7% North West

+2.6% Scotland

+5.5% South East

+3.7% South West

-15.8% Wales

+14.8% West Midlands


HOTEL, LEISURE & SPORT 6.2 | Source:BarbourABI

Proportional change in regional activity (YonY)

HOTEL, LEISURE & SPORT 6. 3Value of contracts by region | Source:BarbourABI

H O T E L , L E I S U R E & S P O R T …

Marchispositiveasawardsclimbto£382million

9.7%

6.3%

4.1%

15.6%

6.9%

11.1%10.9%

1.7%

22.7%

0.4%

10.6%

36.4% Hotels/Motels

4.7% Public Houses/ Restaurants

20.5% Arenas/Stadia

21.9% Leisure Centres

8.6% Audience/Exhib Centres

7.9% Community/Day Centres





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HOTEL, LEISURE & SPORT… Marchispositiveasawardsclimbto£382million

TOP TEN


TOP TEN


TOP TEN



TOP TEN



1 Gateshead Metropolitan Borough Council 1 250

2 Rockwell Property 1 151

3 Galliard Homes Limited 2 103

4 Artisan Real Estate Investors 1 90

5 Chris Stewart Group 2 87

6 The All England Lawn Tennis and Croquet Club 1 80

7 FM Ury Limited 1 80

8 Sandwell Metropolitan Borough Council 1 73

9 Cheshire West & Chester Council 2 72

10 Property Alliance Group 3 67


1 12351635

WEST MIDLANDSBirmingham 2022, Commonwealth Games – Alexander Stadium redevelopment

60Date: Jul 2020 – Nov 2021Funding: PublicContractor: McLaughlin & Harvey DE

LAYE

D

2 12365420SOUTH WESTClayton Hotel & 24 apartments – Broad Street

20Date: Jan 2020 – Sep 2021Funding: PrivateContractor: McAleer & Rushe Limited

3 12136387SOUTH EASTCarnival Pool Site, phase 2 – leisure centre and commercial

20Date: Oct 2020 – Oct 2022Funding: PrivateContractor: Pellikaan Construction Limited

4 12282795NORTH WESTTalbot Gateway phase 2 – 142 bed hotel

17Date: Oct 2020 – Oct 2022Funding: PrivateContractor: Robertson Group (North) DE

LAYE

D

5 12291544EAST MIDLANDSFormer Granby Halls site – new hotel

16

Date: Sep 2020 – Mar 2022Funding: PrivateContractor: Marshall Construction (West Yorkshire) Limited DE

LAYE

D

6 12328069NORTH WESTGorton community hub

15Date: May 2020 – Jan 2023Funding: PrivateContractor: Morgan Sindall (Construction) Plc

7 12266347SCOTLANDDuchess Place – Topgolf golf venue, restaurants

11.4Date: Mar 2020 – Jul 2021Funding: PrivateContractor: Luddon Construction DE

LAYE

D

8 12258894LONDONEuro Hotel Group, Hounslow Road – 151 apartment hotel

11.3Date: Sep 2020 – Mar 2022Funding: PrivateContractor: LHG London Hotel Group

9 12310349EAST OF ENGLANDThe Marlowes Centre redevelopment

10

Date: May 2020 – Jun 2021Funding: PrivateContractor: McLaughlin & Harvey Construction Limited DE

LAYE

D

10 12360849EAST MIDLANDSDaventry Library, North Street – cinema and restaurant

8.2Date: Jul 2019 – Jan 2021Funding: PublicContractor: Willmott Dixon Construction Limited


1 AHR Building Consultancy Limited 2 320

2 HOK International Limited 1 250

3 Simpson Haugh & Partners 3 182

4 Sheppard Robson 3 116

5 Roberts Limbrick Architects 5 107

6 Hopkins Architects 2 102

7 EPR Architects Limited 2 93

8 Stephenson Studio Limited 4 90

9 Gareth Hoskins Architects Limited 3 88

10 Arney Fender Katsalidis 1 83



2 Sir Robert McAlpine Limited 1 250

3 McAleer & Rushe Limited 5 162

4 John Sisk & Son Limited 1 151

5 Buckingham Group Contracting Limited 6 116

6 ISG 9 114

7 Wates Construction Limited 4 107

8 Ogilvie Construction Limited 5 102

9 Property Alliance Group 5 101






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PeterboroughGatewaywasthelargestindustrialawardintheregionthismonthvaluedat£21.5million.Theprojectinvolvestheconstructionofanew21,025sqmfloorareawarehousewith267parkingspacesandwasawardedtoWinvicConstructionwithCauntonEngineeringalsonamedas frame subcontractor.

Type of projectsWarehousing&storagewasthelargestsectorinMarchattracting56.9%ofawards,howeverthisis10.3%lowerthanMarch2019(seefig.7.4).Withshareof13.9%ofawardsthelightindustrialsectorwasinsecondplacethismonthandcomparisonswithMarch2019showshareincreaseof5.0%.TheheavyindustrialsectorwasthethirdlargestsectorinMarchwith12.5%ofallcontractawards.Thisisadecreaseof4.0% on a year ago.

Based on a three month rolling average, the value of industrial constructioncontractawardsinMarch2020was£435million(seefig.7.1).Thisis4.0%higherthanFebruarybutisadecreaseof22.6%comparedwithMarch2019.InQ12020,thetotalvalueofindustrialcontractawardswas£1.3billion.Thisisadecreaseof41.1%comparedwithQ42019.AnnualcomparisonsindicatethatQ12020is16.8%lowerthanQ12019.Evidence of slowing of the industrial sector has been substantiated byMarchdataandalthoughtherewasupturnof4.0%comparedwithFebruary,valuehasbeenpeggedbelow£450millionineachofthelastthreemonths.However,thesectorhasaparticularlystrongplanningpipeline which should ensure output growth is maintained into the medium-term.

Projects by regionRegionalanalysisindicatesthattheSouthEastwastheleadingregionforindustrialcontractawardsinMarchaccruing37.0%ofallindustrialawards.Thisisanincreaseof23.5%comparedwithMarch2019(seefig.7.2&7.3).At£35.5million,Plot1BLondonMedwayCommercialParkinRochesterwasthelargestindustrialawardintheSouthEastregionthismonth.TheprojectwillseeReadieConstructionbuildanew35,554sqmwarehousefacilitytobecompletedbyOctober2020.TheNorthWestwasthesecondlargestregioninMarchwith21.4%ofcontractawardswhichcomparestoshareofjust1.4%inMarch2019.ThelargestawardthismonthwasinBlackburnandwasFrontierParkPhase7PlotCwhichwasvaluedatanestimated£25.6million.AwardedtoBarnfieldConstruction,thisprojectinvolvestheconstructionoffourindustrialunitswithatotalfloorareaof25,642sqm.TheEastofEnglandwasthethirdplacedregionthismonthwithashareof15.4%ofawards,whichisanincreaseof10.1%comparedwithayearago.Plot410

London Medway Commercial Park the key award as South East region takes the lead.

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INDUSTRIAL 7.1Project value showing 3 month moving average

Source:BarbourABI

INDUSTRIAL 7.4Type of projects awarded | Source:BarbourABI

%

-5.7% East Midlands


+2.1% London

-24.0% North East

+20.0% North West

+0.3% Scotland

+23.5% South East

+4.7% South West

+2.5% Wales

-11.1% West Midlands


INDUSTRIAL 7.2Proportional change in regional activity (YonY)Source:BarbourABI

INDUSTRIAL 7. 3Value of contracts by region | Source:BarbourABI

I N D U S T R I A L …

Slightupturninevidencewith4.0%increaseinMarch

6.2%

15.4%

0.1%

21.4%

3.2%

37%6.8%

2.8%

3.5%

0.9%

2.6%

12.5% Heavy Industrial

13.9% Light Industrial

2.8% Food Production/Cold Stores

56.9% Warehouse/Storage

6.9% Laboratories/R&D

7.1% Agricultural Buildings





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INDUSTRIAL… Slightupturninevidencewith4.0%increaseinMarch

TOP TEN


TOP TEN


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TOP TEN



1 Esso Petroleum Company Limited 1 800

2 University College London 1 281

3 Integra 61 (Durham) Limited 1 150

4 Chancerygate Properties Limited 11 113

5 Roxhill Developments Limited 3 112

6 St Modwen Developments Plc 11 109

7 First Panattoni Limited 5 108

8 Segro Plc 4 102

9 Canmoor Developments 10 91

10 Peveril Securities Limited 1 90


1 12364864SOUTH EASTLondon Medway Commercial Park, plot 1b – warehouse

35.6Date: Feb 2020 – Oct 2020Funding: PrivateContractor: Readie Construction Limited DE

LAYE

D

2 12361401

SOUTH EASTThe British Museum phase 2 – British Museum Archaeological Research Collection

27Date: Aug 2020 – Aug 2021Funding: PrivateContractor: John Graham Construction Limited DE

LAYE

D

3 12481348NORTH WESTFrontier Park, phase 7 plot C – industrial warehouses

25.6Date: Nov 2020 – Oct 2022Funding: PrivateContractor: Barnfi eld Construction Limited

4 12444906EAST OF ENGLANDPeterborough Gateway, plot 410 – warehouses & off ices

21.6Date: Aug 2020 – Jan 2022Funding: PrivateContractor: Winvic Construction Limited DE

LAYE

D

5 12159973EAST OF ENGLANDManton Lane distribution centre

21Date: Aug 2020 – May 2021Funding: PrivateContractor: McLaren Construction Limited DE

LAYE

D

6 12376283SOUTH EASTLondon Medway Commercial Park, plot 1b, option 2

20Date: Feb 2020 – TBCFunding: PrivateContractor: Readie Construction Limited

7 12476098EAST MIDLANDSCarrington Farm – glasshouses

19Date: Aug 2020 – Jan 2022Funding: PrivateContractor: Cambridge HOK Construction Limited DE

LAYE

D

8 12305886SOUTH EASTProject Zeta – site 410 Magna Park

19Date: Dec 2019 – Sep 2020Funding: PrivateContractor: Readie Construction Limited

9 12484731

NORTH WESTUniversity of Salford Crescent – Science, Engineering and Environment building

15.3Date: Mar 2020 – TBCFunding: PrivateContractor: Morgan Sindall (Construction) Plc

10 12471331

SOUTH EASTPlot 1b London Medway Commercial Park – industrial unit

14.3Date: Feb 2020 – Nov 2020Funding: PrivateContractor: Readie Construction Limited


1 ExxonMobil Research and Engineering 1 800

2 UMC Architects 20 368

3 Hawkins Brown Architects 2 351

4 AJA Architects LLP 6 277

5 Michael Sparks Associates 13 261

6 Ashton Smith & Associates 7 224

7 Stephen George & Partners 10 162

8 RPS Group Plc 8 127

9 Oasthouse Ventures 2 120

10 Kilmartin Plowman & Partners 10 109


1 Fluor Limited 1 800

2 Winvic Construction Limited 15 519

3 ISG 5 448

4 Readie Construction Limited 17 289

5 Buckingham Group Contracting Limited 12 259

6 Caddick Construction Limited 12 132

7 Bom Group 2 120


9 A & H Construction & Development 10 113

10 MCS Group Limited 13 96





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forcompletioninMarch2021andwillseeGreswoldeConstructionbuildanewmedicalcentrewithadditionalfacilitiesincludingofficesandalibrary. A number of temporary emergency hospital and medical projects werealsoawardedinMarchincludingParcYScarletsStadiumandtheSelwynSamuelCentreinLlannelli,theWiganInfirmarytemporaryward,theHarrogate,ManchesterandNECConventionCentresconversionstotemporary hospitals and the Birmingham Airport temporary mortuary.

Type of projectsAnalysis by sector shows that public hospitals had the largest share of contractawardsinMarchat51.2%butthisis11.7%lowerthanforMarch2019(seefig.8.4).Surgeries,health&medicalcentreswerethesecondlargestsectorthismonthaccountingfor22.9%ofawards,whichisadecreaseof10.3%onayearago.Thethirdlargestsectorwashospices,nursing&psychiatrichomesaccountingfor15.9%ofawardswhichcomparestojust2.4%shareofawardsinMarch2019.

Thevalueofmedical&healthcontractawardsinMarchwas£118millionbasedonathreemonthrollingaverage(seefig.8.1).Thisis8.0%lowerthanFebruaryandalso32.8%lowerthanMarch2019.QuarterlyanalysisshowsthatinQ12020,thetotalvalueofmedical&healthcontractawardswas£341million.Thisis28.5%higherthanQ42019butannualcomparisonshowsthatthisis21.1%lowerthanforQ12019.The focus for current contract awards is for smaller-scale extension andrefurbishmentprojects.However,theCovid-19outbreakhasseena number of contract awards for the conversion of facilities to serve as emergency hospital facilities which could boost output growth in the short-term.

Projects by regionTheregionattractingthelargestshareofcontractawardsinMarchwastheSouthWestwithattributableshareof21.4%,whichisa7.8%decreasewhencomparedwithMarch2019(seefig.8.2&8.3).ThelargestcontractawardintheregioninMarchwasthe£6millionMusgroveParkHospitalPhase2–SterileServicesDepartment.AwardedtoKierWestern,this48 month project involves the refurbishment and extension of the existing departmenttoprovideatotalfloorareaof9,750sqmwithinathreestoreystructure.Scotlandwasthesecondlargestregionthismonthattracting20.0%ofawardswhichcomparestojust0.7%shareofawardsayearago.Livingstonwasthelocationforthelargestcontractawardintheregionthismonthandwasthe£4million,60bedroomKirkLaneNursingHome.ThesuccessfulcontractorwasMuirConstructionwithAAlexander&Son(Electrical)awardedtheM&Esubcontract.Accountingfor18.4%ofawardstheWestMidlandswasthethirdlargestregionthismonthwithsharehavingfallenby1.6%whencomparedwithMarch2019.Thelargestmedicalcontractfortheregionthismonthwasthe£2.5millionChildswickhamRoadMedicalCentreinBroadway,Worcestershire.Thisprojectisdue

The South West is the lead region but temporary hospital facilities also provide impetus.

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MEDIC AL & HE ALTH 8.1Project value showing 3 month moving average

Source:BarbourABI

MEDIC AL & HE ALTH 8.4Type of projects awarded | Source:BarbourABI

%

-0.3% East Midlands


-8.4% London

-6.4% North East

+5.7% North West

+19.3% Scotland

-9.4% South East

-7.8% South West

+2.7% Wales

-1.6% West Midlands


MEDIC AL & HE ALTH 8.2Proportional change in regional activity (YonY)Source:BarbourABI

MEDIC AL & HE ALTH 8.3Value of contracts by region | Source:BarbourABI

M E D I C A L & H E A L T H …

Awards down 8.0% in Marchto£118million

0%

2.2%

0%

14%

20%

0%21.4%

8.4%

18.4%

5.7%

10%

0.0% Health Farms

15.9% Hospices, Nursing & Psychiatric Homes

0.0% Private Hospitals

51.2% Public Hospitals

0.0% Secure Hospitals

22.9% Surgeries, Health & Medical Centres

6.7% Veterinary Services


UPDATEThe UK Government has classed all medical projects as essential works, therefore all projects are able to continue, despite Covid-19.


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MEDICAL & HE ALTH… Awardsdown8.0%inMarchto£118million

TOP TEN


TOP TEN


TOP TEN



TOP TEN



1 Sandwell and West Birmingham Hospital NHS Trust 2 271

2 South West London and St Georges NHS Trust 2 74

3 Camden and Islington Community NHS Trust 1 70

4 NHS Grampian 1 56

5 South London & Maudsley NHS Trust 2 48

6 Salford Royal Hospitals NHS Trust 1 40

7 Gloucestershire Hospitals NHS Foundation Trust 2 40

8 NHS Highland 2 30

9 The Department Of Health 14 29

10 Christie Hospital NHS Trust 2 26


1 12457079

SOUTH WESTMusgrove Park Hospital, phase 2 – sterile services department

6Date: Jun 2020 – Jun 2024Funding: PublicContractor: Kier Western Limited

2 11977560SCOTLANDKirk Lane Nursing Home

4Date: Apr 2020 – Jan 2021Funding: PrivateContractor: Muir Construction Limited

3 12411554WEST MIDLANDSChildswickham Road – medical centre

2.5Date: Mar 2020 – Mar 2021Funding: PrivateContractor: Greswolde Construction Limited

4 12490630SCOTLANDMoneydie Roger – falcon breeding facility

2Date: May 2020 – May 2022Funding: TBCContractor: Falconiform Structures Limited

5 12343763LONDONThe New Froud Medical Centre, Toronto Avenue

2Date: Apr 2020 – Apr 2021Funding: PrivateContractor: Bryen & Langley Limited

6 12492390NORTH WESTRoyal Albert Edward Infi rmary – 28 bed modular building

1.4Date: Feb 2021 – Jan 2022Funding: PublicContractor: Darwin Group Limited

7 12494949NORTH WESTManchester Conference Centre Covid-19 essential construction

1Date: Mar 2020 – Apr 2020Funding: PublicContractor: Vinci Facilities

8 12494940

WEST MIDLANDSBirmingham Airport temporary mortuary Covid-19 essential construction

1Date: Mar 2020 – TBCFunding: TBCContractor: TBC

9 12494938

WEST MIDLANDSBirmingham NEC temporary hospital Covid-19 essential construction

1Date: Apr 2020 – TBCFunding: TBCContractor: TBC

10 12494870

WALESSelwyn Samuel Centre – temporary hospital – Covid-19 essential construction

1Date: Mar 2020 – TBCFunding: TBCContractor: Lloyd & Gravell Limited


1 Stride Treglown Limited 9 287

2 Ryder Architecture 4 93

3 CF Moller Denmark A/S 1 74

4 Mackie Ramsay & Taylor 1 56

5 IBI Group 5 53

6 P & HS Architects 11 45

7 DAY Architectural 5 44

8 Gilling Dod Architects 5 34

9 Space & Place 6 33

10 Oberlanders Architects Llp 2 30



2 BAM Construction 7 152

3 Kier Construction Limited-Building UK 17 125

4 Sir Robert McAlpine Limited 2 80

5 Vinci Construction 5 66

6 Robertson Group Limited 2 60

7 Integrated Health Projects 5 49

8 Interserve Plc 6 44


10 McPhillips (Wellington) Limited 1 18


COVID-19 UPDATEPROJECTS CONTINUE

The UK Government has classed all medical projects as essential works, therefore all projects are able to continue, despite Covid-19.


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Thelargestcontractawardwasthe£5millionDaneshillSchoolSportsFacilitiesinHook,Hampshire.AwardedtotheBrymorGroupanddueforcompletioninSeptember2021,workswillincludeanewswimmingcentre,MUGA,grasssportspitchesandlandscaping.OthernotableawardsinMarchincludedthe£8.9millionSEN160placeHarrowSchoolin Wareham which was awarded to Galliford Try.

Type of projectsThecolleges&universitiessectortookadominantshareofeducationawardsthismonthat51.7%,whichisanincreaseof2.4%onMarch2019(seefig.9.4).Withattributableshareof18.6%ofawardsstatesecondaryschools were the second largest sector and was only marginally (0.4%) belowMarch2019.Thethirdlargestsectorwasstateprimaryschoolswithashareof15.6%ofeducationawards.Howevercomparisonswithayear ago show that share has decreased by 4.1%.

Educationconstructioncontractawardswerevaluedat£349millioninMarch,basedonathreemonthrollingaverage(seefig.9.1).Thisis3.5%higherthanFebruarybutis25.3%lowerthaninMarch2019.InQ12020,thetotalvalueofeducationcontractawardswas£1.1billion.Thisis18.6%lowerthanforQ42019andisalsoadecreaseof19.7%whencomparedwithQ12019.ThedownwardtrendinQ12020underpinsthemodestoutlookforoutputgrowthintheshort-mediumterm.However,thetemporaryclosureofUKschoolsduetoCovid-19hasthepotentialforanumberofprojectstobebroughtforwardintoQ2,whichcouldboostshort-termoutput growth.

Projects by regionScotlandwasthelargestregionforthesecondmonthrunninginMarchwith46.9%attributableshareofeducationcontractawards.Thisisanincreaseof32.8%whencomparedtoMarch2019(seefig.9.2&9.3).Glasgow was the location for the largest education contract award thismonthandwasthe£86millionAdamSmithBusinessSchool&PostGraduateHubfortheUniversityofGlasgow.ThecontractwillseeMultiplexprovideaneweightstoreyfacilitywhichwillincludearesearchcentre,offices,computerstudiosandmeetingrooms.ThesecondlargestregionthismonthwasLondonwith19.2%ofawardsandwhichrepresents a share decrease of 1.8% on a year ago. The largest education awardforLondonthismonthwasthe£32millionBolderAcademyinIsleworth,Middlesex.TheprojectwillseeBowmer&Kirklandbuildanew four storey secondary school building which will provide 8,881 sq m ofteachingspaceaswellasacanteenandMUGAwiththeprojectduetobecompletedinJanuary2022.TheSouthEastwasthethirdlargestregioninMarchwithattributableshareof8.3%ofcontractawardsbutwithsharehavingdecreasedby1.9%comparedtoMarch2019.

Scotland maintains lead region status with the university sector providing key awards.

0

100

200

300

400

500

600

Valu

e (£

mill

ion)


EDUC ATION 9.1Project value showing 3 month moving average

Source:BarbourABI

EDUC ATION 9.4Type of projects awarded | Source:BarbourABI

%

-6.4% East Midlands


-1.8% London

+1.6% North East

-6.1% North West

+32.8% Scotland

-1.9% South East

+0.9% South West

-4.2% Wales

-2.5% West Midlands


EDUC ATION 9.2Proportional change in regional activity (YonY)Source:BarbourABI

EDUC ATION 9. 3Value of contracts by region | Source:BarbourABI

E D U C A T I O N …

Upturn as awards climb to £349millioninMarch

4.5%

5.3%

2.9%

4%

46.9%

8.3%8%

0.2%

0.2%

0.5%

19.2%

6.0% Nurseries

15.6% State Primary

18.6% State Secondary

2.9% Private Schools/Colleges

51.7% Colleges/Universities

5.4% Special Schools





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EDUCATION… Upturnasawardsclimbto£349millioninMarch

TOP TEN


TOP TEN


TOP TEN



TOP TEN



1 Department For Education 96 980

2 University of Glasgow 6 168

3 University of Leicester 2 134

4 University of Warwick 7 129

5 University of the Arts London 1 120

6 University of Lancaster 4 113

7 University of Edinburgh 2 95

8 Newcastle University 2 92

9 The University of Sheff ield 3 70

10 South Ayrshire Council 5 67


1 12192660

SCOTLANDUniversity of Glasgow – Adam Smith Business School & Post Graduate Hub

86Date: Jul 2020 – TBCFunding: PrivateContractor: Multiplex

2 12243764LONDONBolder Academy

32Date: Jul 2020 – Jan 2022Funding: PublicContractor: Bowmer & Kirkland Limited DE

LAYE

D

3 12204034

SCOTLANDCollege of Arts Building, Western Infi rmary site – Glasgow

31Date: Feb 2020 – Jan 2021Funding:Contractor: Multiplex Construction Europe Limited DE

LAYE

D

4 12455657LONDONUCL Pearl Building – Yewtree Avenue

14.8Date: Feb 2020 – Feb 2021Funding: PrivateContractor: VolkerFitzpatrick Limited

5 12456745EAST OF ENGLANDChigwell Primary Academy – redevelopment

12Date: Aug 2020 – Sep 2022Funding: PublicContractor: EJ Taylor & Sons Limited DE

LAYE

D

6 12489259SOUTH WESTHarrow School, Cologne Road

9Date: Nov 2020 – Jan 2022Funding: PublicContractor: Galliford Try (Guildford)

7 12469633NORTH WESTOldham College – teaching block building D

7Date: Mar 2020 – Apr 2021Funding: PublicContractor: Willmott Dixon Construction Limited

8 12443376NORTH EASTBowburn Junior School redevelopment

6Date: Mar 2020 – Mar 2021Funding:Contractor: Esh Group

9 12476340EAST MIDLANDSEresby Special Education Needs & Disability School

6Date: Mar 2020 – Sep 2021Funding: PrivateContractor: Willmott Dixon Construction Limited

10 12430150SOUTH EASTDaneshill School – sports facilities

5Date: Sep 2020 – Sep 2021Funding: PrivateContractor: Brymor Group DE

LAYE

D


1 Stride Treglown Limited 22 229

2 Hawkins Brown Architects 7 211

3 Bond Bryan Partnership 16 164

4 HLM Architects 9 164

5 Norr 9 154

6 Associated Architects 7 154

7 AHR Building Consultancy Limited 25 126

8 Allies & Morrison Urban Practitioners 2 123

9 Architecture PLB 9 121

10 BDP 5 117





4 Kier Construction Limited-Building UK 49 310

5 BAM Construction 14 286



8 Multiplex Construction Europe Limited 5 158

9 Engie Regeneration Limited 7 151

10 Bouygues Group 2 151





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