Activity in Northern Ireland’s construction industry fell for the fifth consecutive quarter and at its fastest rate in two years, a survey says.
And it appears that economic challenges and geopolitical headwinds are weighing on sentiment in the right sector across the UK, according to the latest Royal Institution of Chartered Surveyors (Rics) third quarter construction monitor.
More surveyors reported a fall in construction workloads than in the previous quarter, and the decline came in all sub-sectors, including public and private housebuilding, and in industrial activity (infrastructure activity saw the largest decline, hitting its lowest balance since 2020).
With workloads falling, Northern Ireland surveyors are hesitant about the outlook, and they also expect profit margins to remain squeezed in the next year.
Respondent to the survey also continue to report shortages in skills, notably bricklayers and quantity surveyors.
Rics’ regional construction spokesman Jim Sammon said: “Construction in Northern Ireland is facing some extremely challenging market conditions, which is evident from this survey.
“Activity here faced a downturn, and while momentum across the UK is also subdued, Northern Ireland is falling further behind counterpart regions.
Jim Sammon
“The fall in infrastructure workloads this quarter is of particular concern given that public sector activity plays such a vital role in the local construction market.”
He added: “The construction industry is continuing to navigate many challenges including skills shortages, ongoing high costs, and other economic issues which will continue to be felt as we go into the final quarter of the year.
“There are also wider economic challenges and geopolitical headwinds weighing on sentiment here and elsewhere.”