Project-starts and main contract awards fell against both the previous quarter and last year. More positively, detailed planning approvals grew on the preceding three months.
Education overview
Totalling £844m, education work starting on site experienced a 43 per cent decrease on the preceding three months to stand 45 per cent down on the previous year. There were no major projects (£100m or more) starting during the period, a decrease from the preceding quarter and a year ago. Underlying education work starting on site (less than £100m in value) experienced a 17 per cent decline against the preceding three months on a seasonally adjusted (SA) basis and was 37 per cent down on a year ago.
Education main contract awards decreased 20 per cent against the preceding three months to total £977m, with the value remaining 24 per cent lower than the previous year. Underlying contract awards decreased 16 per cent (SA) against the preceding three months and by 24 per cent against the previous year. No major projects reached the contract awarded stage, down on the preceding three months but unchanged on the previous year.
Totalling £1.292bn, detailed planning approvals grew 8 per cent against the preceding three months but were 11 per cent lower than last year. Like project-starts and main contract awards, there were no major project approvals. Underlying project approvals fell 5 per cent (SA) against the previous three months to stand 4 per cent down against last year.
Types of projects started
School project-starts totalled £555m during the three months to January and accounted for the largest share of education construction starts (66 per cent), despite a 40 per cent decline on the previous year.
Colleges also fell 18 per cent against last year to total £156m, accounting for 18 per cent of the total value.
University project-starts also experienced a weak period, with the value having slipped back 71 per cent against the previous year to total £99m, accounting for a 12 per cent share of education work starting on site.
Regional
The South East was the most active region for education project-starts during the three months to January, accounting for a 16 per cent share of the sector to total £138m, despite having decreased 64 per cent on last year’s levels. The West Midlands accounted for 11 per cent of starts in the sector and increased 21 per cent against the previous year to total £94m. This growth was boosted by the £61m City Learning Quarter in Wolverhampton.
In contrast, totalling £131m, the East Midlands experienced growth, standing 12 per cent higher than a year ago. The region accounted for a 16 per cent share of education projects commencing on-site. Accounting for 15 per cent, the East of England also experienced a strong period. Starts in the region totalled £127m, having jumped 68 per cent on a year ago.
London was the most active region for detailed planning approvals in the education sector, accounting for an 18 per cent share, with the value having increased 32 per cent on a year ago to total £228m. Scotland more than doubled in value against last year to total £203m, a 16 per cent share of all consents during the period. Projects in the region included the £75m Paisley Grammar Community Campus.
Adding up to £191m, the North West grew 68 per cent against last year, accounting for 15 per cent of education consents. In contrast, the East Midlands decreased 4 per cent on a year ago to total £153m, a 12 per cent share of approvals. At £126m, the South East also faced a 37 per cent decline, accounting for 10 per cent of consents.
