NI Suffers, With 12 Year Low In Building Activity

The Northern Ireland construction industry has been the worst hit region in the UK, following the dramatic downward slide in building activity.

Figures released today suggest over 2,000 construction jobs have been shed in the Province, as activity levels hit a 12 year low.

The gloomy outlook has prompted leading industry figures to demand Northern Ireland's devolved minister put their political differences aside, and work to open-up more public sector contracts.

Public projects have been dogged with delays in planning and the releasing of contracts, according to building sector representatives.

A depressing snapshot of the Northern Ireland construction industry was revealed in the Royal Institution of Chartered Surveyors' latest Construction Market Survey.


Workloads in the third quarter dropped at their most accelerated rate in 12 years, back when the survey was launched in 1996, according to the report.

Housing, commercial and industrial building work dropped lower in Northern Ireland than in any other part of the UK.

The Construction Employers Federation has already claimed more than 2,000 jobs in the sector had been lost as a result of the downturn in the housing market.

CEF boss John Armstrong has urged the Stormont Executive to place more public contracts.

The RICS also suggested the looming global financial crisis is only being exacerbated by failures by the Northern Ireland government.

Stalemate between Sinn Fein and the DUP has halted the inner workings of the Executive, following the cancellation of the last two rounds of ministerial talks.

Northern Ireland head of the RICS, John Davidson, said public building projects had been "beset with delays and dilution".

Mr Davidson said these hold ups are increasing the stresses on already wavering building firms.

"The RICS Construction Market Survey for the third quarter of 2008 underscores the severe challenges the construction industry is currently facing in Northern Ireland," he said.

"At present problems with procurement, planning delays and other issues are resulting in significant hold-ups to projects that should already be on site.

"Ensuring the swift delivery of these projects is a matter of significant public interest," added the RICS NI Chairman.

(PR/JM)