Tender price indicator
Q1 2016

Elements of uncertainty are creeping into the economic outlook with the Brexit referendum and global slowdown. 2016 will see continued demand for construction from a supply constrained industry maintaining levels of tender price increase, not yet reflecting any significant slowdown or caution from the uncertain outlook.

UK average rates of tender prices are unchanged at 4% for 2016 and 3½% for 2017, with a levelling off in 2019.

The North West is forecast to rise ahead of the national average in 2016 and 2017, with London and South East continuing to dominate with strongest demand in effectively a two tier national market.