What's Happening?
Construction activity in the North East during August 2025 showed growth in project starts, totaling £967 million, a 53% increase compared to the previous year. Private housing led the sector with a 152% rise in project starts. However, main contract awards and detailed planning approvals experienced declines, indicating challenges in securing contracts and approvals. The education sector also saw significant growth, accounting for 20% of the total value of project starts.
Why It's Important?
The growth in construction activity in the North East reflects positive economic trends and increased demand for housing and educational facilities. However, the decline in contract awards and planning approvals highlights ongoing challenges in the sector, such as regulatory hurdles and market uncertainties. Understanding these dynamics is crucial for stakeholders to navigate the construction landscape and make informed decisions.
