Featured Region: West Midlands

Last year saw strong 16% growth in the value of project starts, with the first half of the year seeing a rebound in new activity following weakness in 2012 when starts declined by 2%. This rate of growth lifted the value of project starts above the 2007 peak.

Project starts stalled in the second half of the year, but a continuing strong flow of planning approvals and an economic recovery comprising job creation and an increase in housing market activity has helped to maintained growth this year. The value of underlying projects starts during the first eight months of 2014 was 8% up on the strong performance a year earlier.

The West Midlands’ strong industrial base has seen strong growth in construction output relating to the industrial sector, in contrast to the wider UK that has seen a long term decline in industrial development accelerate since the recession. Strong growth in new project starts and, looking further ahead, planning approvals indicates that activity will rise further in 2014 and 2015, as hopes strengthen of an economic recovery based on investment into capacity and increasing exports.

The West Midlands consists of the following Counties: Hereford & Worcester, Shropshire, Staffordshire, Warwickshire, West Midlands.