Growth in construction will outpace that of the UK economy in general over the next three years, according to the Construction Products Association. Their predictions were announced in January at the Forecasting for Construction conference in London. They say that although the public sector is finally picking up, the private commercial sector and especially offices will drive the growth. However, a cooling in the housing market in response to higher interest rates is expected to hold back new house building activity.

The Construction Products Association predict 2.7% growth this year. A further strengthening in industry growth to 3% and 3.5% is forecast for 2008 and 2009 respectively.