5 years of construction growth predicted for Scotland

Scotland’s construction industry is expected to continue to grow for the next five years, according to the CITB’s new Construction Skills Network forecasts.

Interim figures suggest that construction output in Scotland will increase at an average of 1.6% during the period 2015 – 2019.

Output is below the UK average of 2.9% and is not expected to surpass its 2006 peak within the forecast period.

Throughout the forecast period, employment growth will continue to lag. Employment in the industry is forecast to rise by an annual average over 0.9% from 2015 but will still not reach its 2008 peak.

CSN data suggests that between 2015 and 2019, an average of 6,170 workers will be required in the region per year to deliver the forecast growth.

Graeme Ogilvy, Scotland director for CITB, said: “Major projects such as the Aberdeen Western Peripheral Route and the new Forth Replacement Crossing mean there are a number of employment and output opportunities for the next few years.

“While predictions for employment growth still falling behind pre-recession figures, ensuring that we have the workforce required will still prove a major challenge for industry.

“Many employers are already struggling to source the skilled employees they need to carry out work and unless they plan effectively now by upskilling existing staff or securing new recruits, the problem will persist into the medium and longer term.

“Skills are the oxygen of the sector, especially when we are recovering from a recession but facing opportunities.

“It’s a fine balance which we appreciate and we’re working closely with the industry to encourage and deliver training; to actively promote the sector and to strive for a more diverse workforce. If workforce planning is neglected, opportunities will be missed and the sector will suffer.”

CITB works with industry to minimise skills gaps by addressing forecasted shortfall, investing in apprenticeships and promoting careers in UK construction.

Elsewhere in the UK, all regions are expected to see output and employment growth with the exception of the West Midlands and Yorkshire & Humber.

The sector’s performance is characterised by strong geographical and sectoral variation with the greater south east (Greater London, South East and East of England) continuing to fare better than Northern regions of England.