23 November 2017
Build UK member BCSA reports on the structural steelwork consumption forecasts
The British Constructional Steelwork Association (BCSA) reports that infrastructure is the bright spot in structural steelwork consumption forecasts.
The consumption of constructional steelwork in the UK is expected to remain flat in 2017 at around 900,000 tonnes according to the independent market research company Construction Markets. This comes off the back of a 4% rise in structural steelwork consumption in 2016.
In 2017, a small decline in steelwork consumption in buildings will be offset by an 8% increase in activity in the power, bridges and other infrastructure sectors. The forecast is then for a slow increase in consumption as the large infrastructure projects take hold.
In 2018, steel consumption in the offices sector is expected to decline due to an oversupply of available space, especially in London. The forecast is for a fall in consumption of 6% in 2018 and 4% in 2019 before the market picks up again in 2020.
According to Director General of the BCSA, Sarah McCann-Bartlett, key growth sectors for structural steelwork in 2018 are expected to be power generation, as investment in alternative sources of energy such as waste to energy and new nuclear continue to move forward, and bridges and other infrastructure as HS2 starts to move into the construction of structures.
“This forecast shows just how key government infrastructure spending is in a stagnant market.”
Growth is forecast to continue in subsequent years, with overall constructional steelwork consumption estimated to reach 936,000 tonnes in 2020 (the end of the forecast period).
For more information on BCSA, please visit their website.