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Education IN THIS OCTOBER ISSUE… Contract values increase by 20.8% READ MORE HS2 contracts boost Infrastructure by 315.3% READ MORE Residential construction decreases Hinderton Point, Lloyd Drive, #,/1%"Ɯ/011&*"&+0&5*,+1%0 Cheshire Oaks, Cheshire, CH65 9HQ READ MORE T: 0151 353 3500 E: [email protected] FULL VERSION · AVAILABLE TO BARBOUR ABI CUSTOMERS, BUILDING AND BD SUBSCRIBERS ONLY W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 ABOUT US… Specialist provider of OCTOBER 2017 construction intelligence

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Economic Context Bespoke Research & Intelligence Market Insight The Construction Sector 2/ ,+,*&01& %"))),ƛ"/0 "0-,(" Designed as the next level of analysis to our monthly research and tailored analysis as well as providing  ,+,*& ǔ,+01/2 1&,+/("1"3&"4Ǿ1%&0#2))6 Residential consultations and speaking at industry events. interactive quarterly tool allows you to compare Barbour ABI is a leading provider of  ,+,*&01& %")))Ǿ4,/(04&1% 201,*"/01, sector and regional construction data easily and construction intelligence services. With a Infrastructure ,ƛ"/ "0-,("/"0"/ %+!1&),/"!+)60&00-" &Ɯ  "ƛ" 1&3")6ǽ%&01,,)$&3"06,2!""-"/+)60&0+! team of in-house research specialists and for your individual business. He currently provides intelligence on the construction market, allowing you a dedicated lead economist, it provides Commercial & Retail consultations, detailed research as well as attend and your company to forecast trends and aid in your commercially relevant insight and unique speaking events, speaking on topics related to your business planning. analysis of trends and developments within the Hotel, Leisure & Sport individual business needs. ,)"/+*,/" ,21/("1 +0&$%1+!1,!,4+),! building and construction industry. Barbour your copy, click on the button below. Additionally, ABI is the chosen provider of industry data and

Industrial to register your interest in our bespoke construction indicators for Government bodies including intelligence and tailored analysis please register your 1%"ƛ& "#,/1&,+)11&01& 0+!1%" interest by selecting the tick box in the enquiry form. Government’s Construction and Infrastructure Medical & Health Pipeline, which outlines future construction and infrastructure projects where public Education Michael Dall & %")&0/ ,2/ ȉ0"! ,+,*&010-" &)&0&+$ DOWNLOAD METHODOLOGY DOWNLOAD MARKET INSIGHT funding is agreed. Barbour ABI also provides in construction and the built environment. He data for independent organisations, such as the leads on Barbour ABI’s research and outputs on Construction Products Association. the construction sector assessing the trends and Barbour ABI is part of global events-led !"3"),-*"+104%& %&*- 12-,+&1ǽ& %")&0)0, IPA’s partner in providing the National Chosen provider of Construction New Orders marketing services and communications a regular contributor to Building magazine, sits on Infrastructure and Construction Pipeline estimates to the ONS and communal dwellings data ,*-+6Ǿǽ the current CPA Forecasting Panel as well as being frequently noted in construction trade and the Hinderton Point, Lloyd Drive, Cheshire Oaks, national press. Cheshire, CH65 9HQ To contact Michael either: T: 0151 353 3500 T: 020 7560 4141 E: [email protected] Hinderton Point, Lloyd Drive, E: [email protected] W: www.barbour-abi.com Cheshire Oaks, Cheshire, CH65 9HQ  ȯ& %") )) @BarbourABI T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 ECONOMIC CONTEXT… %&/!.2/1"/" ,+,*&  2% OCTOBER 2017 growth remains subdued growth in private consumption in Q2 About Us

Economic Context The indicators for Quarter 3 suggest that economic growth will remain lower as The Construction Sector consumption levels slow News this month 1%"/+"401%&0*,+1%,+1%"" ,+,*6 Residential %"- ",#" ,+,*& $/,41% ,+1&+2"!1,0),4 quarter which would indicate a continuation of the .2/1"/ ,+Ɯ/*"!1%11%"/1",#$/,41%&+-/&31" includes: &+"-1"* "/ ,/!&+$1,1%"/(&1))0" 1,/ ),4"/)"3")0,#$/,41%0""+&+ǗǕǖǜț0""Ɯ$ǽǖǽǖȜǽ 1&0 ,+02*-1&,+&00),4&+$ǽ ,/!&+$1,1%"1%" Infrastructure  &+!& 1,/ǽ%"/"!&+$#,/"-1"* "/40 4,/1%+,1&+$1%1/(&1,3"/-/"!& 1"!" ,+,*&  rate of growth in private consumption increased by The International Monetary Fund 53.6, which is a very slight reduction from the 53.8 growth for the second quarter so it is possible the ǖʢ&+Ǘ ,*-/"!1,ǖǽǙʢ&+ǖț0""Ɯ$ǖǽǗȜǽ+! reduced its forecast for 2017 Commercial & Retail /"!&+$&+2$201ǽƜ$2/",# ,3"ǚǕ&+!& 1"0 ,ƛ& &)011&01& 04&))0%,4"3"+0),4"/$/,41%&+ compared to the same period in 2016 GDP growth economic growth by 0.3% and $/,41%+! ,/!&+$1,/(&11%&0/"!&+$,# the third quarter. &+-/&31" ,+02*-1&,+&0),4"/ǽ%"$/,41%/1" now predicts GDP growth of 1.7% this year Hotel, Leisure & Sport 53.6 is consistent with growth of 0.3% for the third %" ,*-,0&1&,+,# $/,41%&+1%"0" ,+! for Q2 2016 was 2%, showing the slowing in the

 %"ƛ& "#,/2!$"1 Industrial 1.6 63 3.0 "0-,+0& &)&16&0"5-" 1"!1,

Olympics 2.5 revise its estimates of productivity Medical & Health growth downwards in the 0.8 58 2.0 2!$"1+"51*,+1%%&11&+$1%" 1.5 Education ,3"/+*"+1ȉ0!"Ɯ &1#,/" 01 All Sector PMI (OutputPMI Index) Sector All 53 1.0 0.0 0.5 UK retail sales rose for a fourth 48 0.0 consecutive month in September EU referendum -0.8 -0.5 ƞ"/1%",+0"1,#%&$%"/-/& "0#,/ 43

UK GDP, constant % change prices q/q UK GDP, clothes and food -1.0

-1.5 GDP Private consumption -1.6 38 Net trade Government consumption A survey by the Society of Motor -2.0 Global Gross Captial Formation financial Manufacturers and Traders crisis -2.5 showed that new car sales were -2.4 33 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2015 2016 2017 9.3% lower in September than in 1%"0*"*,+1%)016"/Ǿ1%"Ɯ/01 Hinderton Point, Lloyd Drive, ECONOMIC CONTEXT 1.1 ECONOMIC CONTEXT 1.2 time the September market had Cheshire Oaks, Cheshire, CH65 9HQ UK GDP & PMI | ,2/ "ǿ /(&1Ǿ Ǿ GDP Growth Composition | ,2/ "ǿ !" )&+"!&+0&56"/0ǽ T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 ECONOMIC CONTEXT… %&/!.2/1"/" ,+,*& $/,41%/"*&+002 !2"!

/1",#%,20"%,)!"5-"+!&12/"ǽ%"/"&0"3&!"+ " longer but are not able to secure additional hours. increased by 2.1% in the three months to July 2017 that consumers are delaying their discretionary  ,/!&+$1,1%"ǖǘʢ,#))-/1Ȓ1&*"4,/("/0 ț0""Ɯ$ǽǖǽǙȜǾ4%"+ ,*-/"!1,6"/"/)&"/ǽ + expenditure decisions owing to the fall in the level 4"/"&+3,)2+1/6&ǽ"ǽ1%"6 ,2)!+,1Ɯ+!#2))Ȓ1&*" !!&1&,+Ǿ4%"+6,2!'2011%&0Ɯ$2/"#,/&+Ɲ1&,+&1 205,000 of real wages hence the overall slowing in private ', &+1%"1%/""*,+1%01, 2)6ǽ%"+2* "/,# shows that real wages are actually 0.4% lower than ,+02*-1&,+ǽ"11/!"40-,0&1&3" ,+1/& 21,/ these workers decreased by 21,000 compared to 1%"0*"1&*"&+ǗǕǖǛǽ%&00%,40%,4&+Ɲ1&,+ level of OCTOBER 2017 to GDP in Q2 growing by 0.4% and this has been 1%"-/"3&,20.2/1"/ǽ%"/"/" 2//"+1)61,1),# continues to outstrip wage growth thus hampering underemployment gradually increasing over the last two quarters as 1 million individuals who are involuntary part-time consumer’s ability to spend. the lower value of Sterling leads to an increase in workers and this is down from 1.5 million in July ("+1,$"1%"/1%&0!10%,40" ,+,*6 About Us demand for British goods from abroad. However 2013. Analysing the total level of underemployment, that is coping well with the headwinds currently this improvement in net trade has not been enough which is part-time workers and full time workers # &+$&1 210&$+01%11%"/&0&+$)"3"),#&+Ɲ1&,+ Economic Context 1,,ƛ0"11%"#))0&+-/&31" ,+02*-1&,+ǽ who are willing to work more hours, also shows is impacting on overall consumer spending and #))0ǽ%")"3"),#2+!"/"*-),6*"+1!" /"0"! 6 therefore the level of economic growth. As the With real wages declining by 0.4% The Construction Sector Unemployment 205,000 in the three months to June 2017 compared Brexit negotiations continue more certainty help compared to a year ago presents a %") ,2/*/("1&001&))-/,3&+$1, "-/1& 2)/)6 to the previous quarter which is the lowest since businesses with their investment decision process. challenge for consumers and their Residential robust with the level of unemployment falling September 2008. However, given the lack of progress thus far it is  &)&161,0-"+!Ǿ04"))0&+Ɲ1&,+ 1,Ǚǽǘʢ&+1%"1%/""*,+1%01, 2)6ț0""Ɯ$ǽǖǽǘȜǽ !&ƛ& 2)11,00"00&10#2))&*- 1,+" ,+,*&  which looks likely to keep increasing Infrastructure " "+1+)60&0)0,0%,4"!1%11%")"3")0,# Earnings growth in the future. 2+!"/"*-),6*"+1/"#))&+$1,,ǽ+!"/"*-),6*"+1 %")"3"),#4$"04&1%&+1%"" ,+,*6&001&)) and ultimately having a profound Commercial & Retail &0!"Ɯ+"!01%,0"4,/("/04%,4,2)!)&("1,4,/( presenting a challenge. Average weekly earnings "ƛ" 1,+,3"/))" ,+,*& $/,41%ǽ

Hotel, Leisure & Sport 4000 12

3500 Industrial 3.0

3000 10 2.5 Medical & Health 2.0 2500 Education 1.5

2000 8 1.0

1500 GrowthGDP 0.5

0.0 Norminal wages 1000 6 -0.5 Real wages

500 -1.0

-1.5 J FMAMJ JASONDJ FMAMJ JASONDJ FMAMJ J 0 4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2015 2016 2017 2012 2013 2014 2015 2016 2017

––– %,20+!0+10*,/"%,2/0ț Ȝ Hinderton Point, Lloyd Drive, ––– %,20+!0+10*,/"%,2/0&+ 2//"+1', ț Ȝ ECONOMIC CONTEXT 1.3 ––– %,20+!0+10/"-) "*"+1', 4&1%),+$"/%,2/0ț Ȝ ECONOMIC CONTEXT 1.4 Cheshire Oaks, Cheshire, CH65 9HQ ––– %,20+!0+10!!&,+)', ț Ȝ Underemployment | ,2/ "ǿ "/ "+1$"Ǿʢ+"*-),6*"+1/1"ț Ȝ Regular average weekly earnings growth | ,2/ "ǿ T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 THE CONSTRUCTION SECTOR… Contract activity boosted 20.8% Increase in OCTOBER 2017 monthly by HS2 in September contact value

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Economic Context Figures from the ONS continue to show a better month for construction activity while contracts increase The Construction Sector %")1"01Ɯ$2/"0#/,*1%"&+!& 1"1%" infrastructure increased by 3.6% and private industrial three months shows that construction output has as its base month recorded a reading of 136 for Residential ,+01/2 1&,+0" 1,/&+1%"$/"4 6ǕǽǛʢ "14""+ increased by 3.4%. However, the level of repair and fallen by 0.8% demonstrating that the level of activity "-1"* "/ǽ%&0&0!" /"0"#/,*1%"-/"3&,20 July and August 2017. Industry output was 3.5% maintenance fell in August, decreasing by 1.4% from in construction is declining over the longer term. month and supports the view that while overall Infrastructure %&$%"/1%+2$201ǗǕǖǛț0""Ɯ$ǽǗǽǖȜǽ July. Comparing construction output in August 2017 However, while the level of private housing continues activity in the industry remains solid the speed of %"*&+/"0,+#,/1%"*,+1%)6&+ /"0"&+,21-21 to August 2016 showed increases across all areas of to grow annually growth prospects will remain $/,41%&00),4&+$ǽ%"/"!&+$0#,//&31" ,20&+$ Commercial & Retail are increases across the board for new construction construction. All construction work increased by 3.5% broadly positive. 4"/"!,4+,3"/1%"*,+1%Ǿ+!,**"/ &)ƛ& "0 work. Amongst the new work sectors only private and only public work declined, falling by 7.4%. Looking %"ȡ/ ,2/  +!"54%& %*"02/"01%" were also down from last month’s level at 109. Hotel, Leisure & Sport commercial declined, falling by 0.5%. At the same time at the past three months compared to the preceding level of contracts awarded using January 2010 ,**"/ &)"1&)&+ /"0"!1%&0*,+1%+!1%" /"!&+$#,/ +!201/&)  1,/&"0400&$+&Ɯ +1)6

Industrial % change %&$%"/&+"-1"* "/ț0""Ɯ$ǽǗǽǗȜǽ All New Build Private Housing Commercial Retail August 2016 – August 2017 July 2017 – August 2017 Commercial Offices Industrial Factories 600 Medical & Health Total All Work 3.5 0.6 Construction Sector All New Work 3.7 1.7 According to Barbour ABI data on all contract activity, 500 September saw a further increase in construction Education • Public Housing 14.9 1.3 levels with the value of new contracts awarded £6.9 • Private Housing 7.5 2.3 400 &))&,+Ǿ 0"!,+1%/""*,+1%/,))&+$3"/$"ǽ%&0 • Infrastructure 4.9 3.6 is a 20.8% increase from August and a 22.7% increase ș 2 )& ț"5 +#/01/2 12/"Ȝ -7.4 2.1 300 ,+1%"3)2"/" ,/!"!&+"-1"* "/ǗǕǖǛǽ%"+2* "/ • Private Industrial 1.7 3.4 200 ,# ,+01/2 1&,+-/,'" 104&1%&+1%"&+"-1"* "/ • Private Commercial 1.5 -0.5 decreased by 28.5% compared with August, and were Repairs & Maintenance 3.3 -1.4 100 Contracts = 100) 2010 Awarded Index (Jan 16.5% lower than September 2016. • Public Housing 2.4 -1.4 %""01&!)+!0401%")"!&+$/"$&,+#,/ • Private Housing 7.1 -0.4 0 contracts awarded by value in September with ș ,+Ȓ ,20&+$ 0.5 -2.2 NDJ FMAMJ JASONDJ FMAMJ JAS ǘǚʢ,#1%"1,1)ǽ%&040#,)),4"! 6,+!,+ 2015 2016 2017 which had 28% of contract awards value and then Hinderton Point, Lloyd Drive, CONSTRUCTION SECTOR 2.1 CONSTRUCTION SECTOR 2.2 01&!)+!04&1%ǖǚʢ,#3)2"4/!"!ǽ%" Cheshire Oaks, Cheshire, CH65 9HQ remaining regions accounted for 1-4% individual Construction activity by sector | ,2/ "ǿ ȡ/ ,2/  +!"5 | Source: Barbour ABI T: 0151 353 3500 share of contracts awarded. HS2 was a key feature E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 CONSTRUCTION SECTOR… Contract activity boosted by HS2 in September

of contracts awarded in September with the highest 1%"01&!)+!0Ǿ1%",/1%,/1),#1%"%&)1"/+ *2)1&Ȓ01,/"6 /-/(1"+1/)&)1,+"6+"0ǽ%" value contract in each of the leading regions all 2++")401%"%&$%"013)2" ,+1/ 11ʐǖǽǘ &))&,+ǽ )!/ƛ& "/"!"3"),-*"+140,+",#1%"%&$%"01 14 "&+$/")1"!1, Ǘǽ%"%&$%"013)2" ,+1/ 1 Other notable contracts in all three regions include value residential contracts awarded although this 4/!"!&+1%""01&!)+!0&+"-1"* "/40 1%"ʐǘǕǕ*&))&,+/"!"3"),-*"+1,#1%")!/ƛ& " is mixed use, hotel and residential redevelopment. 6 &/*&+$%*-2/ &$%-""!Ǘț ǗȜț0""Ɯ$ǽǗǽǘȜǽ building in Whitehall into a 125-bed hotel and 88 %"/"!"3"),-*"+1,#1%"#,/*"/0&1"&+5#,/! %" ,+1/ 1403)2"!1ʐǖǽǚ &))&,++!&+3,)3"0 Ɲ10Ȁ1%"ʐǛǚ*&))&,+/"+"+1/) ,**"/ &),ƛ& " ,!+ %"01"/40+,1%"/%&$%3)2"/"0&!"+1&) OCTOBER 2017 5 1%",+$ 1 %&+$1,+,,!2++")Ǿ,21%,/1)1, development in and the £50m Project ,+1/ 11,-/,3&!"Ǚǖǖ-/1*"+104&1%1,1)Ɲ,,/ Delta Junction and Birmingham Spur. Awarded to "!&20&+"& "01"/1,-/,3&!"ǗǚǗ%,1") "!/,,*0Ǿ area of 1,467 sq m over 36 storeys, with additional gym % 4 About Us the BBV Consortium, work is due to commence in ǙǾǕǖǞ0.*,#,ƛ& "0- "+!/"!"3"),-*"+1,#1%" +!!&+&+$# &)&1&"004"))0,ƛ& "# &)&1&"0ǽ%"+"51 2 " "* "/ǗǕǖǝǽ%"%&$%"013)2" ,+1/ 14/!"! former railway station. highest value residential contract was the £50 million 3 67 Economic Context for was also part of the HS2 programme with /"!"3"),-*"+1,#1%")1,+011"&+,"%*-1,+ ʐǖǽǘ &))&,+%&)1"/+2++")0+!,)+"))"6&!2 1 Types of Project which aims to build 500 new properties in addition The Construction Sector ,+1/ 14/!"!1,%")&$+ ,&+1"+12/"ǽ ,/ %"4/!&+$,#+2* "/,#%&$%"/3)2" Ǘ 1,1%"/"#2/ &0%*"+1,#ǘǕǕ"5&01&+$!4"))&+$0ǽ%" contracts in September meant that infrastructure highest value industrial award was the 220,000 sq m, Residential Medical & Health Residential dominated with 67% value share of contracts *7,+!&01/& 21&,+2+&14&1%,ƛ& "0Ǿ #ćǾ(&1 %"+ Industrial Education 4/!"!ț0""Ɯ$ǽǗǽǚȜǾ#,)),4"! 6/"0&!"+1&)4&1% +!00, &1"!)+!0 -&+$4,/(01"3"/+,! East of Commercial & Retail Infrastructure Infrastructure London 14%, industrial with 6% and commercial and retail &+/&01,)4%& %403)2"!1ʐǗǕǙ*&))&,+ǽ%" Hotel, Leisure & Sport North East 4&1%ǚʢǽ%"%&$%"013)2"+,+Ȓ Ǘ&+#/01/2 12/" second highest contract award at £49m was for the CONSTRUCTION SECTOR 2.5 Commercial & Retail North West -/,'" 1401%"ʐǘǛ*ǖȒǖ)&+(/,!1"1%"/ 6 construction of 2 warehouse and distribution units at Type of projects | Source: Barbour ABI 4% ț0""Ɯ$ǽǗǽǛȜ#,)),4"! 61%"ʐǘǕ*&))&,+ǾǙǕǾǜǗǚ0.* ,/1%*-1,+#,/,5%&))"3"),-*"+10ǽ South East Hotel, Leisure & Sport South West Rank Project Value (£m) Region Sector 8000 1400 Birmingham Spur – High Speed 2 Industrial 1 1500 West Midlands Infrastructure (HS2) & Humber 7000 1200 1% 2 %&)1"/+2++")0Ȕ &$%-""!Ǘț ǗȜ 1300 London Infrastructure Medical & Health ,/1%,/1),#%&)1"/+2++")Ȕ &$% 4% 3 1300 01&!)+!0 Infrastructure 6000 -""!Ǘț ǗȜ 1000 Education 3% 4 ")1 2+ 1&,+Ȕ &$%-""!Ǘț ǗȜ 1300 "01&!)+!0 Infrastructure 5000 201,+2++")0ǔ--/, %"0Ȕ &$% 5 900 London Infrastructure 800 Number of Contracts -""!Ǘț ǗȜ ,+$ 1 %&+$1,+,,!2++")Ȕ &$% 15% 4000 6 900 "01&!)+!0 Infrastructure

Value (£ million) (£ Value -""!Ǘț ǗȜ 600 35% )!/ƛ& "2&)!&+$ȔǖǗǚ "! 2% 3000 7 300 London "0&!"+1&) 1% %,1")+!ǝǝƝ10 Central Park Severnside – Amazon 28% 400 8 204 South West Industrial 2000 distribution unit 4% &/ )".2/"5#,/!,!Ȕ ), (0 9 135 ,/1%"01 "0&!"+1&) 4% 200 ǚǔǛ 1000 ǜǔǝ"))&+$1,+) "Ȕ,ƛ& "0ȡ/"1&)ȡ ,/(0%&/"ǔ Commercial 10 121 SONDJ FMAMJ JASONDJ FMAMJ JAS restaurants Humber ǔ"1&) 0 2015 2016 2017 0 Hinderton Point, Lloyd Drive, CONSTRUCTION SECTOR 2.3 CONSTRUCTION SECTOR 2.4 CONSTRUCTION SECTOR 2.6 Cheshire Oaks, Cheshire, CH65 9HQ Locations of contracts awarded Source: Barbour ABI Construction activity trends | Source: Barbour ABI Top ten biggest projects by value | Source: Barbour ABI T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 3.6 2.1 4.6 1.9 2.6 7.4

OCTOBER 2017 11.5 % 35.1 About Us 11.0 Economic Context

2.4 The Construction Sector RESIDENTIAL… 35.1% 17.9 East Midlands South East Residential London tops East of England South West the regions this London Wales Infrastructure Fall in residential month North East West Midlands North West Yorkshire & Humber Commercial & Retail values in September Scotland Hotel, Leisure & Sport RESIDENTIAL 3.1 Residential falters in September following positive Value of contracts by region Industrial July and August. Source: Barbour ABI

Medical & Health

Education 14000 September saw a reduction in residential activity 2500

with the value of projects recorded at £1.8 billion 12000

0"!,+1%/""*,+1%/,))&+$3"/$"ǽ%&0&0ǘǘʢ ƞ"/1%/""3"/601/,+$ 2000 10000 lower than August but 3.8% higher than September months residential ǗǕǖǛț0""Ɯ$ǽǘǽǗȜǽ +1"/*0,#2+&1+2* "/0Ǿ construction contract value 1500 8000 September saw decrease of 4.5% compared with Ɯ+))6!&--"!Ǿ%,4"3"/1%" 6000 August based on a three month rolling average but 1000 number of units were up by Decrease 4000 unit numbers were 9.4% higher than September compared ǗǕǖǛǽ%&02+!"/)&+"01%"2+!"/)6&+$-,0&1&3"1/"+! 9.4% compared to showing rolling 3 month average million) (£ Value 500 with August 2000 #,//"0&!"+1&)!"3"),-*"+10&+1%"&+ǗǕǖǜǽ last year. SONDJ FMAMJ JASONDJ FMAMJ JAS 0 2015 2016 2017 0 Hinderton Point, Lloyd Drive, Source: Barbour ABI Cheshire Oaks, Cheshire, CH65 9HQ 4.5% RESIDENTIAL 3.2 T: 0151 353 3500 Project value showing 3 month moving average E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 RESIDENTIAL… Fall in residential values in September

House prices contract awarded in September 2017 was the West was the £135 million redevelopment of the will provide 270 units, as well as retail units. Valued %")1"01%,20"-/& "&+!& "0#,/"-1"* "/#/,* ʐǘǕǕ*&))&,+/"!"3"),-*"+1,#1%")!/ƛ& " #,/*"/0&1"15#,/!,!&++ %"01"/1, at an estimated £25 million, the contract was Halifax increase of 4.0%, up from 2.6% in August. &+%&1"%))ǽ%&040#,)),4"! 61%"ʐǚǕ*&))&,+ -/,3&!"1,1),#Ǚǖǖ2+&10ǽ%&040#,)),4"! 61%" awarded to Persimmon Homes. %"/"40)0,.2/1"/)6-/& "&+ /"0",#ǖǽǙʢǽ /"!"3"),-*"+1,#,*"/)"61,+,!&+* "1% /"!"3"),-*"+1,#1%"%,1,4"/11%""!4,/(0 %"1&,+4&!"/"-,/1"!++2)%,20"-/& "/&0"01 which was awarded to Willmott Dixon Construction 2&)!&+$&+%"01"/ǽ%"0 %"*"4&))-/,3&!"1,1) Type of projects OCTOBER 2017 2.0% in September, representing marginal decrease and involves the provision of 303 local authority ,#ǚǘ-/1*"+10Ǿ&+ )2!&+$Ǘǚƛ,/! )"2+&10Ǿ "0&!"+1&) ,+1/ 14/!0&+"-1"* "/4"/" from 2.1% in August. dwellings as part of a redevelopment plan over a 4&1%1,1)Ɲ,,//",#ǖǾǕǙǝ0.*ǽ%",21%01 dominated by private housing which accounted ǖǽǚ%" 1/"0&1"ǽ%",/1%"01401%"/"$&,+4&1% was the region with the next highest proportion #,/ǝǜʢ,#1%"3)2"ț0""Ɯ$ǽǘǽǘȜǾ+&+ /"0",#ǝʢ About Us Projects by region the second largest share of residential contracts in of residential contracts awarded at 11.5%, which ,+"-1"* "/ǗǕǖǛǽ%"+"51)/$"01-/,'" 116-" %"*&+/"$&,+#,//"0&!"+1&)!"3"),-*"+1 September with 17.9% of contract values awarded is down on the 12.9% for August and 1.9% down ƞ"/-/&31"%,20&+$4"/"), )21%,/&164&1% Economic Context in September was London, accounting for ț0""Ɯ$ǽǘǽǙȜǾ&+ /"0&+$#/,*ǖǘǽǗʢ&+2$201+! ,+"-1"* "/ǗǕǖǜǽ%"%&$%"013)2" ,+1/ 1 5% of value, up 2% on the corresponding month 35.1% of value but this was 1.5% lower than for also ahead of the 10.5% of contracts awarded in awarded in September was for the Colonial House last year. The Construction Sector "-1"* "/ǗǕǖǛǽ%"%&$%"013)2"/"0&!"+1&) "-1"* "/ǗǕǖǛǽ%")"!&+$ ,+1/ 1&+1%",/1% development scheme at Chatham quayside which

Residential 4 1 3 Private housing continues to dominate the Infrastructure 5 1 sector with 87% of the construction contract 2.0% Commercial & Retail values for the month, with big construction Increase in value of projects being commissioned in London, projects awarded in the Hotel, Leisure & Sport % and Chester from private South West compared housebuilders. to last year Industrial

Medical & Health RESIDENTIAL 3.4 87 Change of activity by region (since Sept 2016) | Source: Barbour ABI Education -5.6% 01&!)+!0 -1.9% ,21%01 Private Housing -6.0% 01,#+$)+! +2.0% South West Housing Association

Local Authority -1.5% London -0.3% Wales

Sheltered Housing -0.5% ,/1%01 -1.5% "01&!)+!0

Hostels/Halls of Res./Barracks +10.5% ,/1%"01 -0.8% ,/(0%&/"ǔ 2* "/ Elderly Persons/ Childrens Homes +5.6% Scotland Arrows indicate change since September last year

Hinderton Point, Lloyd Drive, RESIDENTIAL 3.3 +10.5% Increase for North West Cheshire Oaks, Cheshire, CH65 9HQ Type of projects awarded Top Ten Source: Barbour ABI HOTTEST REGION compared to last year CLIENTS, ARCHITECTS, T: 0151 353 3500 CONTRACTORS & PROJECTS E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 RESIDENTIAL… Fall in residential values in September

Rank Company Name Awards Value (£M) TOP TEN TOP TEN 1 Barratt Homes 128 2,112 2 Persimmon Homes Limited 140 1,893 Key Clients Projects Oct 2016 – Sep 2017 Contract awarded September 2017 3 Taylor Wimpey 119 1,604 4 Bellway Plc 90 1,025 OCTOBER 2017 5 Canary Wharf Group PLC 2 830 Value Rank PID Project Name (£M) Details 6 Redrow Homes Limited 49 823 LONDON Date: Oct 2017 – Oct 2020 7 The Berkeley Group 30 809 1 12196605 )!/ƛ& "2&)!&+$ȔǖǗǚ 300 Funding: Private About Us "!%,1")+!ǝǝƝ10 Contractor: Toureen Mangan 8 Bloor Homes 35 640 NORTH WEST 9 Galliford Try Construction 30 630 Date: Sep 2017 – Sep 2019 Economic Context 2 12204098 Circle Square Oxford Road – 135 Funding: Private 10 Cala Group 49 569 blocks 5 & 6 Contractor: John Sisk & Son Limited

LONDON Date: Oct 2017 – TBC The Construction Sector 3 12039077 Somerleyton Road 50 Funding: Public Redevelopment Contractor: Willmott Dixon Construction Limited Rank Company Name Awards Value (£M) TOP TEN LONDON Residential 1 Foster & Partners 2 972 Date: Nov 2017 – Nov 2032 Key Architects 4 12102030 Alton Estate Regeneration – 50 Funding: Private 2 Persimmon Homes Limited 81 968 Putney Contractor: Redrow Homes (London) Limited Oct 2016 – Sep 2017 Infrastructure 3 PRP Architects 32 760 SCOTLAND Date: Mar 2018 – TBC 4 JTP 28 700 5 12289860 Ness Side – 312 houses and 41 Funding: Private ǖǘǙƝ10 Contractor: Tulloch Homes Limited Commercial & Retail 5 PLP Architecture 4 630 LONDON Date: Sep 2017 – TBC 6 MSMR Architects 4 549 6 12160834 Morley House Westminster – 44 40 Funding: Private Contractor: Kier London Limited Hotel, Leisure & Sport 7 Broadway Malyan 21 523 apartments and retail units Oct 2017 – Oct 2021 8 Sheppard Robson 6 459 SCOTLAND Date: 7 12207998 35 Funding: Mixed 2**"/%&)) "/!""+ȔǘǛǞƝ10 Industrial 9 Feilden Clegg Bradley Architects 17 459 Contractor: ZeroC 10 EMA Architecture and Design 26 409 SOUTH EAST Date: Oct 2017 – Oct 2020 Colonial House – Chatham Medical & Health 8 12109908 25 Funding: Private 260&!"ǝǕ%,20"0ȡǖǞǕƝ10ȡ Contractor: Persimmon Homes South East retail

Education Rank Company Name Awards Value (£M) TOP TEN SOUTH EAST Date: Jan 2018 – TBC 1 Barratt Homes 133 2,333 Newton Leys Phase 5 – Drayton 9 12308442 23 Funding: Private Road Bletchley – 175 houses 2 Persimmon Homes Limited 141 1,914 Key Contractors Contractor: Taylor Wimpey South Midlands Limited Oct 2016 – Sep 2017 +!ǜǘƝ10 3 Taylor Wimpey 121 1,619 SOUTH WEST Date: Oct 2017 – TBC 4 Galliford Try Construction 59 1,183 10 11867150 20 Funding: Private Brewers Quay – Weymouth Contractor: Herbert H Drew & Son Limited 5 Bellway Plc 92 1,047 6 Redrow Homes Limited 51 900 7 Keepmoat Regeneration Limited 68 828 8 Canary Wharf Group PLC 1 800 9 The Berkeley Group 30 687 10 Lendlease Construction (EMEA) Limited 2 580

Hinderton Point, Lloyd Drive, Cheshire Oaks, Cheshire, CH65 9HQ The ranking tables are compiled from Barbour ABI database and are based on the total value of contracts awarded over the previous 12 month period. The values represent the construction cost of each project. T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 0.8 17.6

0.2 OCTOBER 2017 49.1 % About Us 29.5 Economic Context

The Construction Sector INFRASTRUCTURE… 49.1% 0.1 0.6 0.9 0.5 0.6 0.0 East Midlands South East Residential West Midlands East of England South West tops the regions London Wales Infrastructure Infrastructure this month North East West Midlands North West Yorkshire & Humber Commercial & Retail buoyant in September Scotland Hotel, Leisure & Sport INFRASTRUCTURE 4.1 Ǘ-/,3&!"00&$+&Ɯ +1 ,,01#,/ +#/01/2 12/" Value of contracts by region Industrial contract awards. Source: Barbour ABI

Medical & Health

3000 Education %"1,1)3)2",# ,+1/ 104/!"!&+1%" 2500 infrastructure sector in September was £2.9 billion on a rolling three month average, boosted by the Major contracts awarded 2000 awarding of a number of HS2 contracts. September for the HS2 projects has had value was 315.3% higher than August and an also -/,#,2+!"ƛ" 1,+1%" 1500 ǝǘǽǞʢ%&$%"/1%+"-1"* "/ǗǕǖǛț0""Ɯ$ǽǙǽǗȜǽ + infrastructure sector – with the three months to September, the total value of 1000 a monthly contract value contracts awarded was £4.4 billion based on a three Increase increase of 315%. showing rolling 3 month average million) (£ Value 500 *,+1%0/,))&+$3"/$"ǽ%&0&0ǖǕǽǛʢ%&$%"/1%+1%" on August previous three months but 0.9% lower than the same SONDJ FMAMJ JASONDJ FMAMJ JAS period in 2016. 0 2015 2016 2017 Hinderton Point, Lloyd Drive, Source: Barbour ABI Cheshire Oaks, Cheshire, CH65 9HQ 315.3% INFRASTRUCTURE 4.2 T: 0151 353 3500 Project value showing 3 month moving average E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 INFRASTRUCTURE… Infrastructure buoyant in September

Projects by region £1.3 billion the project is due to start in December ,+0,/1&2*ț/&))&,+,+01/2 1&,+Ǿ&ƛ$" "+&" Type of projects %""01&!)+!0401%"*&+), 1&,+#,/ 2018 and has been awarded to the Align Joint &3&)+!&"/ +#/01/2 12/"Ȝ+!!2"1, ,**"+ " Boosted by the number of HS2 contracts awarded infrastructure projects in September with 49.1% "+12/"4%& % ,*-/&0"0,26$2"0Ǿ&/, "/1 in December 2018. &+"-1"* "/Ǿ&3&)+$&+""/&+$%!!,*&++1 of value of contracts awarded, up from 2.5% in  )-&+"+!,)("/ &17-1/& (ǽ +!!&1&,+Ǿ1%"ʐǞǕǕ 1%"/0&$+&Ɯ +1+,+Ȓ Ǘ&+#/01/2 12/" ,+1/ 10 Ǟǜʢ0%/",# ,+1/ 13)2"04/!"!ț0""Ɯ$ǽǙǽǘȜǽ "-1"* "/ǗǕǖǛț0""Ɯ$ǽǙǽǖǔǙǽǙȜǽ%"/"4"/" *&))&,+201,+2++")0+!--/, %"0 ,+1/ 1Ǿ 4/!"!&+"-1"* "/&+ )2!"1%"ʐǖǝ*&))&,+ǞǕȡ %&0&0ǜǖʢ2-,+"-1"* "/ǗǕǖǛǽ%",+)6,1%"/ OCTOBER 2017 three major contracts for HS2, Birmingham Spur, also part of HS2, was also awarded in September A96 Haudagain Improvement Project in Aberdeen. sub-sectors to feature in the mix were transport with ,+$ 1 %&+$1,+,,!2++")+!")1 2+ 1&,+Ǿ 1,1%",+0,/1&2*ț(+0(,+01/2 1&,+Ǿ %&04&))&+3,)3")1"/1&,+0+!&*-/,3"*"+101,+ 2% and Civic and Public with 1% of contract values providing a combined value of £3.1 billion. ,01&++! Ȝǽ existing trunk road, new dual carriageway link and awarded. About Us London was the next most active region with %"01&!)+!011/ 1"!ǖǜǽǛʢ0%/",# +"4), )/,!0ǽ4/!"!1,+3&/,+1" &*&1"!Ǿ1%" 29.5% of awards up from 5.3 % in September 2016. contracts awarded in September again led by project is due to commence in Q2 2018. Economic Context %")/$"01 ,+1/ 140+,1%"/ Ǘ-/,'" 1Ǿ1%" +,1%"/ Ǘ ,+1/ 1Ǿ1%"ʐǖǽǘ +,/1%,/1) %&)1"/+2++")0+!,)+"))"63&!2 1ǽ)2"!1 ,#1%"%&)1"/+12++")04/!"!1,1%" The Construction Sector

Residential 02 1 0 With HS2 completely dominating the Infrastructure Infrastructure sector for September, civil 24.2% Commercial & Retail engineering therefore accounted for 97% of the Increase in value of contract values awarded, as the mega project projects awarded Hotel, Leisure & Sport % begins to put the contracts in place for future in the London construction. compared to Industrial September 2016

Medical & Health INFRASTRUCTURE 4.4 Change of activity by region (since Sept 2016) | Source: Barbour ABI 97 Education +14.1% 01&!)+!0 -40.5% ,21%01 Transport -0.6% 01,#+$)+! -2.0% South West Civic & Public

Utilities +24.2% London -8.4% Wales

Civil Engineering -0.7% ,/1%01 +46.6% "01&!)+!0

Miscellaneous -25.7% ,/1%"01 -0.4% ,/(0%&/"ǔ 2* "/

Arrows indicate change since September last year -6.8% Scotland

Increase for West Hinderton Point, Lloyd Drive, INFRASTRUCTURE 4.3 +46.6% Midlands compared to Cheshire Oaks, Cheshire, CH65 9HQ Type of projects awarded Top Ten Source: Barbour ABI HOTTEST REGION last year CLIENTS, ARCHITECTS, T: 0151 353 3500 CONTRACTORS & PROJECTS E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 INFRASTRUCTURE… Infrastructure buoyant in September

Rank Company Name Awards Value (£M) TOP TEN TOP TEN 1 HS2 10 7,203 2 Highways England 31 1,814 Key Clients Projects Oct 2016 – Sep 2017 Contract awarded September 2017 3 EDF Energy 2 760 4 Gent Fairhead & Company Limited 1 679 OCTOBER 2017 5 MGT Teesside Limited 1 650 Value Rank PID Project Name (£M) Details 6 Infrastructure Limited 165 556 WEST MIDLANDS Date: Dec 2018 – Dec 2023 7 Dover Harbour Board 3 545 1 12163016 Birmingham Spur – High Speed 2 1500 Funding: Public About Us (HS2) Contractor: BBV Consortium 8 Spalding Energy Expansion Limited 1 450 LONDON 9 United Utilities Plc 3 301 Date: Dec 2018 – TBC Economic Context 2 12162853 Chiltern – High Speed 2 1300 Funding: Public 10 Vattenfall Wind Power 1 300 (HS2) Contractor: Align Joint Venture

EAST MIDLANDS Date: Dec 2018 – Dec 2023 The Construction Sector 3 12162854 North Portal Of Chiltern – 1300 Funding: Public High Speed 2 (HS2) Contractor: CEK Consortium Rank Company Name Awards Value (£M) TOP TEN Dec 2018 – Dec 2023 Residential 1 Barton Willmore 1 298 WEST MIDLANDS Date: 4 12162858 1300 Funding: Public Delta Junction – High Speed 2 (HS2) 2 Hartwell Architects 1 135 Key Architects Contractor: BBV Consortium Oct 2016 – Sep 2017 Infrastructure 3 Halliday Clark Limited 1 120 LONDON Date: Dec 2018 – Dec 2023 5 12162849 Euston Tunnels & Approaches – High 900 Funding: Public 4 Morgan Sindall Plc 2 102 Speed 2 (HS2) Contractor: SCS Consortium Commercial & Retail 5 Garry Stewart Design Associates 1 100 WEST MIDLANDS Date: Dec 2018 – Dec 2023 6 Mouchel Group 2 58 6 12162856 Wood Tunnel – High 900 Funding: Public Speed 2 (HS2) Contractor: CEK Consortium Hotel, Leisure & Sport 7 BDP 4 42 Date: Sep 2017 – Mar 2026 8 Pascall & Watson Architects 1 38 YORKSHIRE & HUMBER 7 12310044 36 Funding: Public M1 – A1 link road Industrial 9 HGP Architects 1 28 Contractor: Connect Roads

10 Watson Burnett Architects 1 27 SOUTH EAST Date: Sep 2017 – Sep 2018 8 12085221 30 Funding: Private Medical & Health Mk Centre – multi storey car park Contractor: Simons Construction Limiteds

EAST MIDLANDS Date: Dec 2015 – Dec 2020 Rank Company Name Awards Value (£M) 9 12312051 20 Funding: Private Education TOP TEN Mountsorrel – quarry extension 1 Construction Limited 27 2,474 Contractor: Lafarge Tarmac Limited 2 Kier Construction Limited-Building UK 12 2,279 Key Contractors SCOTLAND Date: Apr 2018 – Apr 2020 Oct 2016 – Sep 2017 10 12144796 A90/A96 Haudagain – improvement 10 Funding: Public 3 &ƛ")&*&1"! 2 2,200 project Contractor: Environtec Limited 4 Group Limited 23 2,073 5 VolkerFitzpatrick Limited 17 1,991 6 Vinci Construction 7 1,598 7 BeMo Tunnelling GmbH 1 1,500 8 Bouygues Group 4 1,315 9 Sir Robert McAlpine Limited 2 1,305 10 BBV JV 1 1,300

Hinderton Point, Lloyd Drive, Cheshire Oaks, Cheshire, CH65 9HQ The ranking tables are compiled from Barbour ABI database and are based on the total value of contracts awarded over the previous 12 month period. The values represent the construction cost of each project. T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 3.4 9.7 21.9

OCTOBER 2017 19.0 % About Us 18.7 0.8

Economic Context 8.4 COMMERCIAL & RETAIL… 2.7 3.1 The Construction Sector 21.9% 8.2 4.1 East Midlands South East Residential Yorkshire & East of England South West Commercial contract Humber tops London Wales Infrastructure the regions this North East West Midlands North West Yorkshire & Humber Commercial & Retail month activity decreases Scotland Hotel, Leisure & Sport COMMERCIAL & RETAIL 5.1 Although contract values in the Commercial & Retail sector were lower in Value of contracts by region Industrial September they are 15% ahead of last year. Source: Barbour ABI

Medical & Health

1200 Education %"3)2",# ,+1/ 104/!"!&+1%",**"/ &) 1000 +!"1&)0" 1,/4"/"ʐǜǘǞ*&))&,+&+"-1"* "/ 0"!,+1%/""*,+1%/,))&+$3"/$"ǽ%&0&0 Another strong month 800 ǚǽǝʢ!" /"0",+2$201ț0""Ɯ$ǽǚǽǗȜǾ 21ǖǚǽǙʢ for the sector that’s now &+ /"0"#/,*1%""-1"* "/ǗǕǖǛƜ$2/"ǽ +1%" 20% ahead of where it 600 three months to September the value of contracts was against the previous awarded was £2.1 billion, 20% ahead of the previous 400 .2/1"/ƞ"/) ()201/" quarter but 11.8% down on the same quarter in 2016. Decrease start to the year. showing rolling 3 month average million) (£ Value 200 Whilst August and September appear more positive, on August this contrasts with the downward trend in the earlier SONDJ FMAMJ JASONDJ FMAMJ JAS months of 2017. 0 2015 2016 2017 Hinderton Point, Lloyd Drive, Source: Barbour ABI Cheshire Oaks, Cheshire, CH65 9HQ 5.8% COMMERCIAL & RETAIL 5.2 T: 0151 353 3500 Project value showing 3 month moving average E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 COMMERCIAL & RETAIL… Commercial contract activity increases

Projects by region Construction Limited and is due to commence commercial and retail contracts in September, Type of projects %"/"$&,+4&1%1%")/$"01 1&3&16&+"-1"* "/ in Autumn 2017. London continues to hold a high and an increase of 15.2% on September 2016 (see ƛ& "04"/"1%"!,*&++116-",#-/,'" 1Ǿ was Yorkshire and Humberside with 21.9% of the proportion of commercial and retail projects with Ɯ$ǽǚǽǙȜǽ%")"!&+$ ,+1/ 1#,/1%""01&!)+!0 accounting for 65% of the value of contracts 3)2",#)) ,+1/ 104/!"!ț0""Ɯ$ǽǚǽǖȜǽ%/"#,/ 18.7% of the contract values awarded, however was the construction of a 13 storey, 21,684 sq m 4/!"!1%&0*,+1%Ǿ0&$+&Ɯ +1&+ /"0",+ the region has increased by 7.2% since September 1%&0&0!,4+#/,*Ǚǝǽǘʢ&+"-1"* "/ǗǕǖǛǽ%" ,ƛ& "!"3"),-*"+1!ǘ/"+"+1/)&+/,! the 49% applicable in September 2016. General OCTOBER 2017 ǗǕǖǛǽ%"%&$%"013)2" ,+1/ 14/!"!#,/1%" highest value contract awarded in London across Street Birmingham. Valued at £65 million, the retailing was the next largest category with 14% /"$&,+401%"ǜǔǝ"))&+$1,+) "0 %"*"&+ "-1"* "/401%""01*&+01"/&16 )),ƛ& " ,+1/ 1%0 ""+4/!"!1, ))&#,/!/6-)  of contract award value, down from 36% share in ""!0ǽ%"0 %"*"3)2"!1ʐǖǗǕǽǜ*&))&,+4&)) refurbishment. Valued at £50 million and awarded 4&1% ,*-)"1&,+!1",# +2/6ǗǕǗǕǽ%")/$"01 "-1"* "/ǗǕǖǛț0""Ɯ$ǽǚǽǘȜǽ About Us -/,3&!"ǘǚǾǕǙǙ0.*,#,ƛ& "0- "&++"&$%1 to ISG, the project will involve the refurbishment of retail development in September was the £30 storey building as well as an additional 2,055 sq the 19 storey structure including mechanical and *&))&,+ǾǘǖǾǚǜǘ0.* /"1&)+!4/"%,20" Economic Context m of retail and restaurant space and basement ")" 1/& )4,/(0Ǿ)&ƞ*&+1"++ "+!Ɯ1,214,/(0ǽ development at awarded to -/(&+$ǽ%" ,+1/ 1404/!"!1,1"0 %""01&!)+!0401%"), 1&,+#,/ǖǝǽǜʢ,#  2$%)&+ǔ /3"6ǽ The Construction Sector

Residential 10 Yorkshire and Humberside were propelled Infrastructure to the top spot in September with 21.9% 65% 14 Commercial & Retail of the total contract values share, thanks ƛ& "04"/"1%" greatly to the go-ahead of a £120 million dominant type of Hotel, Leisure & Sport % ,ƛ& "0 %"*"&+""!0ǽ project last month 11 Industrial 65 0 Medical & Health COMMERCIAL & RETAIL 5.4 Change of activity by region (since Sept 2016) | Source: Barbour ABI Education -1.8% 01&!)+!0 -1.5% ,21%01 ƛ& "0 +5.3% 01,#+$)+! +6.9% South West Shopping Centres

Food Retailing -29.3% London +2.4% Wales

General Retailing -1.4% ,/1%01 +15.2% "01&!)+!0

Retail Warehouse & Garden Centres -4.5% ,/1%"01 +7.2% ,/(0%&/"ǔ 2* "/

Arrows indicate change since September last year +1.5% Scotland

Increase for West Hinderton Point, Lloyd Drive, COMMERCIAL & RETAIL 5.3 +15.2% Midlands compared to Cheshire Oaks, Cheshire, CH65 9HQ Type of projects awarded Top Ten Source: Barbour ABI HOTTEST REGION last year CLIENTS, ARCHITECTS, T: 0151 353 3500 CONTRACTORS & PROJECTS E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 COMMERCIAL & RETAIL… Commercial contract activity increases

Rank Company Name Awards Value (£M) TOP TEN TOP TEN 1 Google UK Limited 1 700 2 Canary Wharf Group PLC 3 398 Key Clients Projects Oct 2016 – Sep 2017 Contract awarded September 2017 3 Lendlease Limited 3 312 4 Intu Group 2 272 OCTOBER 2017 5 London Development Agency 1 240 Value Rank PID Project Name (£M) Details 6 Lidl UK GMBH 57 154 YORKSHIRE & HUMBER Date: Sep 2017 – Sep 2020 7 Goldman Sachs International Limited 1 130 1 12247349 ǜǔǝ"))&+$1,+) "Ȕ,ƛ& "0ȡ 121 Funding: Private About Us retail/restaurants Contractor: Canary Wharf Group PLC 8 British Land Corporation Plc 2 125 Date: Jan 2018 – Jan 2020 9 Wellington Place General Partner Limited 1 121 WEST MIDLANDS Funding: Private Economic Context 2 12198090 65 10 Lasalle Investment Management 4 104 ǘ/"+"+1/)2&)!&+$Ȕ,ƛ& " Contractor: McLaren Construction Limited Head ƛ& "

The Construction Sector LONDON Date: Aug 2017 – Aug 2019 3 12213058 "01*&+01"/&16 ))Ȕ,ƛ& " 50 Funding: Private Rank Company Name Awards Value (£M) TOP TEN refurbishment Contractor: Sir Robert McAlpine Residential 1 BDP 4 764 LONDON Date: Oct 2017 – Apr 2019 2 Kohn Pedersen Fox (International) PA 3 398 Key Architects 4 12048621 Ikea Warehouse – Greenwich 30 Funding: Public Oct 2016 – Sep 2017 Peninsula Contractor: Wates Construction Limited Infrastructure 3 Heatherwick Studio 1 350 Date: Jul 2017 – Jul 2018 4 Bjarke Ingels Group 1 350 WEST MIDLANDS Funding: Private 5 12312320 /"+"+1/)ȔƜ1Ȓ,21  20 Commercial & Retail Contractor: Henry Boot Construction (UK) Limited 5 Adamson Associates (International) Limited 2 318 Bank "!ƛ& " 6 Rogers Stirk Harbour and Partners 3 312 NORTH WEST TBC Hotel, Leisure & Sport Date: 7 3D Reid (Architects) Limited 5 281 6 12186153 Bridge Street Quarter Phase 4 – 19 Funding: Public 8 Squire and Partners 5 261 +"4 ,2+ &),ƛ& "0 Contractor: Vinci Construction

Industrial 9 Farrells 1 240 WEST MIDLANDS Date: Aug 2017 – Aug 2018 7 12048184 15 Funding: Private Sainsburys – Selly Oak 10 Sheppard Robson 9 207 Contractor: "&*&1"! "!ƛ& " Medical & Health SOUTH WEST Date: Sep 2017 – Sep 2019 Funding: Private 8 12184233 Huntworth Roundabout – hotel/ 10 Contractor: McLaren Construction Limited Head Rank Company Name Awards Value (£M) ,ƛ& "0ȡ-"1/,)011&,+ Education TOP TEN ƛ& " 1 Lendlease Construction (EMEA) Limited 3 706 Key Contractors EAST OF ENGLAND Date: Jan 2018 – Jul 2018 2 Canary Wharf Group PLC 3 398 9 12210512 Primark Store – 5-9 Haymarket 15 Funding: Private Oct 2016 – Sep 2017 Norwich Contractor: Interserve Building Services Limited 3 McLaren Construction Limited 5 328 SOUTH WEST Nov 2017 – May 2019 4 Multiplex 2 258 Date: 10 12264845 Derriford Hospital – multi storey 10 Funding: Private 5 Wates Construction Limited 10 248 car park 2 Contractor: Fox Construction Group 6 ISG 31 233 7 Mace Limited 8 233 8 Sir Robert McAlpine Limited 4 216 9 Galliford Try Construction 14 209 10 Speller Metcalfe 5 174

Hinderton Point, Lloyd Drive, Cheshire Oaks, Cheshire, CH65 9HQ The ranking tables are compiled from Barbour ABI database and are based on the total value of contracts awarded over the previous 12 month period. The values represent the construction cost of each project. T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 1.5 6.7 1.1 15.4 2.3

7.5 9.4 OCTOBER 2017 12.5 % About Us

3.6 Economic Context 1.7 38.3 The Construction Sector HOTEL, LEISURE & SPORT… 38.3% East Midlands South East Residential London tops East of England South West the regions this London Wales Infrastructure /$&+)&+ /"0"&+ month North East West Midlands North West Yorkshire & Humber Commercial & Retail September Scotland Hotel, Leisure & Sport HOTEL, LEISURE & SPORT 6.1 Hotel sector provides some impetus but overall Value of contracts by region Industrial the sector remains muted. Source: Barbour ABI

Medical & Health

1000 Education %" ,1")Ǿ"&02/"ǔ-,/10" 1,/%! ,+1/ 1 awards of £358 million in September based on a 800 1%/""*,+1%/,))&+$3"/$"ǽ%&040ǕǽǞʢ%&$%"/ ƞ"/01/,+$01/11,1%" than August but 29.1% lower than for September year, the sector continues 600 ǗǕǖǛț0""Ɯ$ǽǛǽǗȜǽ%"3)2",# ,+1/ 10&+1%" to struggle over the past three months to September 2017 was £1.1 billion, few months and almost 400 ǖǚǽǝʢ),4"/1%+1%"-/"3&,201%/""*,+1%0ǽ%&0 Decrease was a decrease of 15.3% compared to the same 30% down on construction on previous 200 contract value from showing rolling 3 month average million) (£ Value period in 2016 serving to highlight the longer-term month deterioration of sector performance. September 2016. SONDJ FMAMJ JASONDJ FMAMJ JAS 0 2015 2016 2017 Hinderton Point, Lloyd Drive, Source: Barbour ABI Cheshire Oaks, Cheshire, CH65 9HQ 0.9% HOTEL, LEISURE & SPORT 6.2 T: 0151 353 3500 Project value showing 3 month moving average E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 HOTEL, LEISURE & SPORT… /$&+)!" )&+"&+"-1"* "/

Projects by region awards with 15.4% value share of contracts, which 4/!"!&+"-1"* "/ 211%&0400&$+&Ɯ +1 September at 43%, down from the 47% in August but London was the main location for contract awards is a decrease from 16.8% in August but 14.7% up on decrease from the 54.1% share in September 2016. 2- 6ǗǙʢ,+"-1"* "/ǗǕǖǛǽ)1%,2$%2!&"+ "ȡ in September with 38.3% of the total value, an "-1"* "/ǗǕǖǛț0""Ɯ$ǽǛǽǙȜǽ%"/,'" 1"!&20 %")/$"01 ,+1/ 1&+ ,1)+!401%"),1 ǗǾ exhibition centres had 31% of contract award value &+ /"0"#/,*ǖǛǽǗʢ&+"-1"* "/ǗǕǖǛț0""Ɯ$ǽǛǽǖȜǽ in Great Central Street in was the largest ,4"11,/1%01"/-)+&+ "/!""+1,-/,3&!"ǖǚǕ &+"-1"* "/ț0""Ɯ$ǽǛǽǘȜǾ1%&0&00&$+&Ɯ +1!" )&+" %")/$"01 ,+1/ 1&+1%",+!,+/"$&,+401%" ,+1/ 14/!&+1%"/"$&,+&+"-1"* "/ǽ%"ʐǚǕ "!%,1"),3"/ǚ01,/"604&1%ǞǕ-/(&+$0- "0ǽ%" on the 57% in September 2016. OCTOBER 2017 £23.5 million Premier Inn Hub Hotel development at million project will see the regeneration of the Great ʐǗǕ*&))&,+-/,'" 14&)) "2+!"/1("+ 6, "/10,+ %,/"!&1 %ǽ%"-/,'" 14&))0""1%"/"#2/ &0%*"+1 Central Street area and former railway station with ,+01/2 1&,+ /,2-01"/++!&0!2"1, ,**"+ " of an existing building to provide 6,440 sq m of hotel 1%"-/,3&0&,+,#ǗǚǗ%,1") "!/,,*04&1% ,ƛ"" in Q4 2017. About Us 0- "4&1%ǗǛǕ "!/,,*0Ǿ #ć+!-/(&+$ǽ%" 0%,-Ǿ/"012/+1Ǿ /+!$6*04"))0Ɯ3"01,/"6 project is due to commence in October 2017 and will ,ƛ& " 2&)!&+$ǽ%" ,+1/ 1%0 ""+4/!"!1, Type of projects Economic Context "2+!"/1("+ 6 &) "/1Ȕ0%&*&1"!ǽ%"01 ,/$+&+!))Ǿ4&1%01/1!1",# +2/6ǗǕǖǝǽ %"%,1")0ȡ*,1")002 Ȓ0" 1,/ ,2+1"!#,/1%" &!)+!0041%"+"51)/$"01-/,-,/1&,+,# ,+1/ 1 Scotland accounted for 12.5% value of contracts largest share of value of contracts awarded in The Construction Sector

Residential 2 London secured the top of the table position Infrastructure for September, increasing its market share 31 57% Commercial & Retail on the month by 16.2% taking it to a total of Decrease in audience/ 43 38.3%. The region had no large projects but exhibition contracts Hotel, Leisure & Sport % rather a high number of small to medium sized compared to developments, particularly hotels. September 2016 Industrial

Medical & Health HOTEL, LEISURE & SPORT 6.4 17 Change of activity by region (since Sept 2016) | Source: Barbour ABI 0 6 Education +14.7% 01&!)+!0 +2.6% ,21%01 Hotels/Motels +5.1% 01,#+$)+! -4.4% South West Public Houses/ Restaurants

Arenas/Stadia +22.1% London +0.7% Wales

Leisure Centres +0.3% ,/1%01 -0.7% "01&!)+!0

Audience/Exhib Centres -3.9% ,/1%"01 +4.9% ,/(0%&/"ǔ 2* "/ Community/Day Centres -41.6% Scotland

Arrows indicate change since September last year

Hinderton Point, Lloyd Drive, HOTEL, LEISURE & SPORT 6.3 +22.1% Increase for London Cheshire Oaks, Cheshire, CH65 9HQ Type of projects awarded Top Ten Source: Barbour ABI HOTTEST REGION compared to last year CLIENTS, ARCHITECTS, T: 0151 353 3500 CONTRACTORS & PROJECTS E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 HOTEL, LEISURE & SPORT… /$&+)!" )&+"&+"-1"* "/

Rank Company Name Awards Value (£M) TOP TEN TOP TEN 1 Wanda Dalian 1 900 2 Birchall Properties 1 400 Key Clients Projects Oct 2016 – Sep 2017 Contract awarded September 2017 3 Heads of The Valleys Development Company Limited 1 200 4 Whitbread PLC 26 132 OCTOBER 2017 5 1 110 Value Rank PID Project Name (£M) Details 6 The Berkeley Group 2 101 LONDON Date: Aug 2017 – Aug 2021 7 Bristol City Council 1 91 1 12031159 )&+$ &)*4,/(0ȔǖǛǖƝ10 100 Funding: Private About Us shops cinema and restaurants Contractor: St George PLC 8 Stanhope Plc 2 77 EAST MIDLANDS 9 Equity Group Limited 1 70 Date: Jan 2018 – Jul 2019 Economic Context 2 12136475 Project Medius – Great Central 50 Funding: Private 10 The Rugby Football Union 12 63 Street Contractor: Morgan Sindall

LONDON Date: ct 2017 – TBC The Construction Sector 3 11316292 23 Funding: Private Hub By Premier Inn Shoreditch Contractor: Gilbert – Ash Limited Rank Company Name Awards Value (£M) TOP TEN EAST OF ENGLAND Aug 2017 – Feb 2019 Residential 1 Kohn Pedersen Fox (International) PA 1 900 Date: 4 12184597 Riverside Ice & Leisure Centre 20 Funding: Public 2 Stanton Williams 1 400 Key Architects Redevelopment Contractor: Kier Construction (Eastern) Oct 2016 – Sep 2017 Infrastructure 3 Populous 2 291 SCOTLAND Date: Oct 2017 – Jan 2019 5 12268324 Plot H2 Rowett North 20 Funding: Private 4 Tew & Smith Architects 2 201 01"/-)+Ȕ),ƞ ,1") Contractor: Robertson Construction Group Commercial & Retail 5 Feilden Clegg Bradley Architects 7 174 SOUTH EAST Date: Oct 2017 – Nov 2019 6 Simpson Haugh & Partners 3 138 6 12200975 Littlehampton Leisure Centre 15 Funding: Private Development Contractor: Willmott Dixon Construction Limited Hotel, Leisure & Sport 7 BDP 8 123 YORKSHIRE & HUMBER 8 OMA Architects 1 110 Date: Oct 2017 – Nov 2018 Bridge Street Development 7 12209630 14 Funding: Private Industrial 9 TP Bennett LLP 1 100 – Hampton by Hilton Hotel Contractor: Robertson Construction Group phase 1 10 Falconer Chester Hall Architects 4 95 Medical & Health LONDON Date: Jan 2018 – TBC 8 12076603 Creed Court Ludgate Hill – hotel 10 Funding: Private & restaurant Contractor: McAleer & Rushe Limited Education Rank Company Name Awards Value (£M) TOP TEN SCOTLAND Date: Sep 2017 – Sep 2019 1 Multiplex 2 900 9 12183783 10 Funding: Private Kings Stables Road Contractor: Bowmer & Kirkland Limited 2 FCC 1 200 Key Contractors Oct 2016 – Sep 2017 SCOTLAND Date: TAug 2017 – Aug 2018 3 Kier Construction Limited-Building UK 18 135 10 12237521 Ibis Style Hotel – 116 Waterloo 9 Funding: Private 4 Laing O'Rourke 3 126 Street Douglas House Contractor: Thomas Johnstone Limited 5 Buckingham Group Contracting Limited 2 117 6 The Berkeley Group 2 101 7 BAM Construction 6 92 8 McAleer & Rushe Limited 5 90 9 Newry Construction 2 90 10 Bowmer & Kirkland Limited 11 84

Hinderton Point, Lloyd Drive, Cheshire Oaks, Cheshire, CH65 9HQ The ranking tables are compiled from Barbour ABI database and are based on the total value of contracts awarded over the previous 12 month period. The values represent the construction cost of each project. T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 8.1 22.4 7.9

1.0

OCTOBER 2017

% 8.5 About Us 0.3 2.2 3.8 Economic Context 33.2 0.3 12.3 The Construction Sector INDUSTRIAL… 33.2% East Midlands South East Residential South West tops East of England South West the regions this London Wales Infrastructure Contract values down month North East West Midlands North West Yorkshire & Humber Commercial & Retail again in September Scotland Hotel, Leisure & Sport INDUSTRIAL 7.1 Downward trend continues but contract value 1.9% higher Value of contracts by region Industrial than September 2016. Source: Barbour ABI

Medical & Health

600 Education Activity in the industrial sector saw a monthly 500 decrease in September with value of contacts awarded at £540 million, based on three month Contract values may be 400 /,))&+$3"/$"ǽ%&0/"-/"0"+10Ǜǽǜʢ!" /"0",+ down on the month but is the value in August but 1.9% higher than September up overall by 31.1% in the 300 ǗǕǖǛț0""Ɯ$ǽǜǽǗȜǽ +1%"1%/""*,+1%01,"-1"* "/ three months to September, the total value of contracts was £1.7 billion which 200 showing good signs for the was 31.1% higher than the previous three months Increase growth of the sector. showing rolling 3 month average million) (£ Value 100 and 3.2% higher than the same quarter last year. on August SONDJ FMAMJ JASONDJ FMAMJ JAS 0 2015 2016 2017 Hinderton Point, Lloyd Drive, Source: Barbour ABI Cheshire Oaks, Cheshire, CH65 9HQ 6.7% INDUSTRIAL 7.2 T: 0151 353 3500 Project value showing 3 month moving average E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 INDUSTRIAL… Contract values down again in September

Projects by region 4&1%+"01&*1"!3)2",#ʐǙǞ*&))&,+ǽ%" ,+1/ 1 ǘǞǗ-/(&+$0- "0ǽ%"-/,'" 1%001/1!1",# %",21%"01&01%"/"$&,+4&1%1%"%&$%"013)2" has been awarded to Winvic Construction and is for ,3"* "/ǗǕǖǜ+!40)0,4/!"!1,&+3&  of contract activity this month with 33.2% of the the development of two warehouse and distribution Construction. contracts awarded, up from 15% in September 2016 2+&104&1%Ɲ,,//",#ǙǞǾǕǞǛ0.*+!ǙǞǜ-/(&+$ ț0""Ɯ$ǽǜǽǗȜǽ%"%&$%"013)2" ,+1/ 14/!"!#,/ 0- "0ǽ%",21%01 ,2+1"!#,/ǖǗǽǘʢ0%/",# Type of projects OCTOBER 2017 the South West region was the £204 million scheme the value of contracts awarded in September, higher Projects awarded were dominated by the to provide a new 220,000 sq m central distribution 1%+1%"ǙǽǙʢ0%/"&+"-1"* "/ǗǕǖǛǽ%"%&$%"01 4/"%,20"ȡ01,/$"0" 1,/4&1%ǜǕʢ,# ,+1/ 1 2+&1+!,ƛ& "0#,/*7,+&+/&01,)ǽ%"01 value contract for the region was estimated at £30 3)2"0ț0""Ɯ$ǽǜǽǘȜǾ0&$+&Ɯ +1)6%&$%"/1%+ǙǗʢ,# About Us &!)+!0%!1%"0" ,+!)/$"01-/,-,/1&,+,# million for the Wide Lane project in Southampton ,+1 104/!"!&+"-1"* "/ǗǕǖǛǽ%"%"36 contracts value at 22.4%, up from 21% in September which involves the redevelopment of the former industrial was the next largest sector with 14% of Economic Context ǗǕǖǛǽ%"%&$%"013)2" ,+1/ 1#,/1%"/"$&,+&01%" ,/!,1,/00&1"+!#,/1%"-/,3&0&,+,#ǘǗǾǕǝǚ contract value, down by 7% on September 2016. / (*&))0&01/& 21&,+/"%,20"0&+,/1%*-1,+ 0.*&+!201/&)+!4/"%,20&+$Ɲ,,/0- "4&1% The Construction Sector

Residential 2 0 14 A massive £204 million Amazon distribution centre Infrastructure in Bristol propelled the South West to the top of the 33.2% 7 Commercial & Retail regional table for the industrial sector. The scheme Increase in South )0, "+"Ɯ1"!4/"%,20"ȡ01,/$"Ɯ$2/"04%& % West contracts 6 Hotel, Leisure & Sport % dominated the type of projects with 70% of the compared to total contract values. September 2016 Industrial

70 Medical & Health INDUSTRIAL 7.4 Change of activity by region (since Sept 2016) | Source: Barbour ABI Education +1.4% 01&!)+!0 +7.9% ,21%01 Heavy Industrial -10.8% 01,#+$)+! +18.2% South West Light Industrial

Food Production/ Cold Stores -0.9% London +0.7% Wales

Warehouse/ Storage -6.7% ,/1%01 -5.0% "01&!)+!0

Laboratories/ R&D -2.3% ,/1%"01 +0.3% ,/(0%&/"ǔ 2* "/ Agricultural Buildings -2.9% Scotland

Arrows indicate change since September last year

Hinderton Point, Lloyd Drive, INDUSTRIAL 7.3 +18.2% Increase for South West Cheshire Oaks, Cheshire, CH65 9HQ Type of projects awarded Top Ten Source: Barbour ABI HOTTEST REGION compared to last year CLIENTS, ARCHITECTS, T: 0151 353 3500 CONTRACTORS & PROJECTS E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 INDUSTRIAL… Contract values down again in September

Rank Company Name Awards Value (£M) TOP TEN TOP TEN 1 Ministry of Defence 9 833 2 Prologis Developments Limited 7 308 Key Clients Projects Oct 2016 – Sep 2017 Contract awarded September 2017 3 Mountpark Logistics 3 271 4 Goodman Logistics Developments UK Limited 4 149 OCTOBER 2017 5 Marine Harvest Limited 2 133 Value Rank PID Project Name (£M) Details 6 Edrington Group 1 100 Date: Sep 2017 – TBC Central Park Severnside – 7 Roxhill Developments Limited 4 100 1 12310997 204 Funding: Private Amazon distribution unit About Us Contractor: ISG Limited 8 Segro PLC 5 91 Date: Aug 2017 – May 2018 9 Euro Garages Limited 2 90 Brackmills – distribution 2 12206135 49 Funding: Private Economic Context warehouses 10 Jaguar Land Rover Limited 1 90 Contractor: Winvic Construction Limited Date: TBC Lubbesthorpe Ses Phase 1 – 3 12283691 40 Funding: Private The Construction Sector industrial units Contractor: McLaren Construction Limited Rank Company Name Awards Value (£M) TOP TEN Date: Nov 2017 – Nov 2018 Wide Lane Southampton – Residential 1 Stephen George & Partners 22 472 4 12311802 30 Funding: Private phase 2 industrial buildings 2 UMC Architects 13 290 Key Architects Contractor: Winvic Construction Limited Oct 2016 – Sep 2017 Date: TBC Infrastructure 3 AJA Architects LLP 8 268 Gateway Peterborough – plot 5 12254039 22 Funding: Private 100 4 Michael Sparks Associates 10 193 Contractor: Winvic Construction Limited Commercial & Retail 5 PHP Architects 5 168 Date: Jul 2017 – TBC ,*,  /& 0!!&" /,ƞ+"Ȕ 6 12273773 19 Funding: Private 6 Norr 7 137 new headquarters Contractor: Planning Manager Limited Hotel, Leisure & Sport 7 Isherwood McCann 6 135 Plot 8 Rockingham Way Date: Jul 2017 – Jul 2018 8 Jacobs Limited 2 133 7 12224292 Brodsworth – Warehouse & 18 Funding: Private ƛ& " Contractor:,4*"/ǔ&/()+!&*&1"! "!ƛ& " Industrial 9 Ridge & Partners LLP 3 92 Date: Aug 2017 – TBC College Farm Pinchgate Lane 10 Jennings Design Limited 1 80 8 12236729 15 Funding: Private Bletchingdon – 6 poultry units Medical & Health Contractor: TBCl Date: Apr 2017 – Aug 2018 Alwalton Hill Plot 310 – 9 12226067 14 Funding: Private Rank Company Name Awards Value (£M) distribution unit Education TOP TEN Contractor: Winvic Construction Limited 1 Winvic Construction Limited 28 689 Key Contractors Park Rose Industrial Estate Date: Jul 2018 – TBC 2 Aspire Defence Limited 2 680 10 12192561 Middlemore Road – 26 industrial 11 Funding: Private Oct 2016 – Sep 2017 units Contractor: Mint Property Development Limited 3 Buckingham Group Contracting Limited 11 268 4 Robertson Group Limited 7 253 5 ISG 1 204 6 A & H Construction & Development 17 199 7 Vinci Construction 3 137 8 Galliford Try Lagan Construction JV 1 135 9 Readie Construction Limited 8 129 10 /+Ɯ")!,+01/2 1&,+&*&1"! 9 124

Hinderton Point, Lloyd Drive, Cheshire Oaks, Cheshire, CH65 9HQ The ranking tables are compiled from Barbour ABI database and are based on the total value of contracts awarded over the previous 12 month period. The values represent the construction cost of each project. T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 0.1 1.7 1.1 0.0 3.8 2.5 0.0 1.0 5.6

OCTOBER 2017

37.9 % About Us

46.3 Economic Context The Construction Sector MEDICAL & HEALTH… 46.3% East Midlands South East Residential Scotland tops East of England South West the regions this London Wales Infrastructure Contract awards month North East West Midlands North West Yorkshire & Humber Commercial & Retail increase in September Scotland Hotel, Leisure & Sport MEDICAL & HEALTH 8.1 Provision of new hospital facilities in Scotland and South East Value of contracts by region Industrial are the key to fourth month of value growth. Source: Barbour ABI

Medical & Health

350 Education %""!& )ǔ ")1%0" 1,/04 1&3&16)"3")0 300 increase by 12.0% in September 2017 compared to August with the total value of contracts awarded Medical & Health reached 250 valued at £154 million based on a three month rolling £154 million for contract 200 3"/$"ǽ%&0&0ǖǕǽǙʢ%&$%"/1%+"-1"* "/ǗǕǖǛ values in September, ț0""Ɯ$ǽǝǽǗȜǽ +1%"1%/""*,+1%01,"-1"* "/1%" making it the best month for 150 value of contracts awarded increased by 62.3% on the sector so far in 2017. 100 1%"-/"3&,201%/""*,+1%0ǽ%&040ǖǽǛʢ!,4+,+ Increase the same period in 2016 indicating that recovery showing rolling 3 month average million) (£ Value on August 50 from the recent slump is continuing. SONDJ FMAMJ JASONDJ FMAMJ JAS 0 2015 2016 2017 Hinderton Point, Lloyd Drive, Source: Barbour ABI Cheshire Oaks, Cheshire, CH65 9HQ 12.0% MEDICAL & HEALTH 8.2 T: 0151 353 3500 Project value showing 3 month moving average E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 MEDICAL & HEALTH… Contract awards increase in September

Projects by region million and has been awarded to John Graham 0140#,/1%"/"!"3"),-*"+1,# "1%"/4,,! ǗǕǖǛț0""Ɯ$ǽǝǽǘȜǽ%&0&0!2"1,1%")/$"/Ȓ0 )" In terms of regions, Scotland accounted for Construction with a build schedule of 23 months ,0-&1)&+0 ,1ǽ%&04&))-/,3&!"ǖǚǾǕǛǚ0.*,# of the leading projects in both Scotland and the largest share of contract awards value with commencing in January 2018. Another project on space including new cardiac facilities and private 1%",21%01ǽ2/$"/&"0Ǿ%")1%ǔ*"!& ) 46.3% which has increased from a 35.8% share the same campus was also awarded in September. "!0,3"/ǚ01,/"60&+Ǘ01/2 12/"0ǽ%" ,+1/ 1 centres accounted for 14%, increasing from 9% in &+"-1"* "/ǗǕǖǛț0""Ɯ$ǽǝǽǖȜǽ%&040*&+)6 %"&/! *&)6 ,0-&1)4&))-/,3&!"+2* "/ 404/!"!1,&"/,21%"/+&*&1"!4&1%01/1 September 2016. OCTOBER 2017 due to the award for the Anchor Centre at the of services including maternity and a neonatal date of September 2017. ,/"01"/%&))*-20&+ "/!""+ǽ%" ,+1/ 1 unit as well as operating theatres, research is for the building of a new cancer treatment +!1" %&+$# &)&1&"0ǽ%",21%01/"$&,+ Type of projects About Us "+1/"#,/  /*-&+1,-/,3&!"# &)&1&"0 accounted for 37.9% of contracts awarded value Public hospitals are the dominant sub-sector in for outpatient and day patient treatment on a in September, an increase of 25.9% on September September accounting for 83% of the value of Economic Context Ǟǽǘ%" 1/"0&1"ǽ%"0 %"*"&03)2"!1ʐǚǕ ǗǕǖǜț0""Ɯ$ǽǝǽǙȜǽ%")/$"01 ,+1/ 1&+1%",21% contracts awarded, up from 68% in September

The Construction Sector

Residential 0 00 1 1 14 £50 million of the total contract values on Infrastructure 0 the month came from the Anchor Centre in 9% Commercial & Retail Aberdeen, providing new cancer treatment Increase in public facilities. Due to this project and another in the hospitals contracts Hotel, Leisure & Sport % South East, public hospitals accumulated 83% compared to of the value of contracts awarded. September 2016 Industrial

83 Medical & Health MEDICAL & HEALTH 8.4 Change of activity by region (since Sept 2016) | Source: Barbour ABI Education -2.0% 01&!)+!0 +25.9% ,21%01 Hospices, Nursing Public Hospitals & Psychiatric -21.5% 01,#+$)+! +0.3% South West Homes Secure Hospitals Kennels & Catteries Surgeries, Health -4.9% London -3.1% Wales & Medical Centres Mortuaries Veterinary 0.0% ,/1%01 +3.8% "01&!)+!0 Surgeries & Private Hospitals Hospitals -8.2% ,/1%"01 -0.7% ,/(0%&/"ǔ 2* "/

Arrows indicate change since September last year +10.6% Scotland

Hinderton Point, Lloyd Drive, MEDICAL & HEALTH 8.3 +25.9% Increase for South East Cheshire Oaks, Cheshire, CH65 9HQ Type of projects awarded Top Ten Source: Barbour ABI HOTTEST REGION compared to last year CLIENTS, ARCHITECTS, T: 0151 353 3500 CONTRACTORS & PROJECTS E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 MEDICAL & HEALTH… Contract awards increase in September

Rank Company Name Awards Value (£M) TOP TEN TOP TEN 1 NHS Grampian 7 246 2 Aneurin Bevan Health Board 1 180 Key Clients Projects Oct 2016 – Sep 2017 Contract awarded September 2017 3 Frimley Health NHS Foundation Trust 3 73 4 NHS Lothian 1 60 OCTOBER 2017 5 Great Ormond Street Hospital NHS Trust 1 60 Value Rank PID Project Name (£M) Details 6 NHS Orkney 1 59 SOUTH EAST Date: Mar 2018 – Mar 2020 7 Royal National Orthopaedic Hospital NHS Trust 1 49 1 12201602 Heatherwood Hospital 72 Funding: Mixed About Us Redevelopment Contractor: Kier Southern Limited 8 Brighton & Sussex Universities Hospitals NHS Trust 2 34 SCOTLAND 9 The London Clinic 1 25 Date: Jan 2018 – Dec 2019 Economic Context 2 12144992 Anchor Centre – Foresterhill 50 Funding: Private 10 The Howard de Walden Estates 2 24 Campus Contractor: John Graham Construction

SCOTLAND Date: Jan 2018 – Jul 2019 The Construction Sector 3 12308077 Baird Family Hospital – 50 Funding: Mixed Foresterhill Campus Contractor: Kier Rank Company Name Awards Value (£M) TOP TEN NORTH WEST Residential 1 Norr 6 283 Date: Nov 2017 – Nov 2018 Key Architects 4 12181633 Duke Street Barrow – Barrow 12 Funding: Private 2 BDP 4 274 Primary Care Centre Contractor: Esh Border Construction Group Oct 2016 – Sep 2017 Infrastructure 3 PM Devereux 5 61 SOUTH EAST Date: Sep 2017 – Mar 2019 4 Stanton Williams 1 60 5 12147100 Qef Woodlands Road Campus – 80 Funding: Private rehabilitation block Contractor: TBC Commercial & Retail 5 Keppie Design 2 59 WEST MIDLANDS Date: Nov 2017 – Aug 2018 6 Murphy Philipps Architects Limited 4 58 6 12128835 Hastings House Surgery 4 Funding: Private Contractor: Wildgoose Construction Limited Hotel, Leisure & Sport 7 IBI Group 4 42 Wellesbourne EAST OF ENGLAND 8 Tangram Architects 3 30 Date: TBC 7 12266690 Southend University Hospital – 3 Funding: Public Industrial 9 Gilling Dod Architects 8 26 Mri Department extension Contractor: Forest Gate Construction

10 Mackie Ramsay & Taylor 4 26 WALES Date: Oct 2017 – Oct 2021 Medical & Health 8 11925571 The Rest Bay Porthcawl – 69 2 Funding: Private Ɲ10 Contractor: ,/+/!&ƛ&*&1"!

EAST OF ENGLAND Rank Company Name Awards Value (£M) Date: Mar 2017 – Sep 2018 Education TOP TEN 9 12250430 Harrow Lane Bulphan – wellness 2 Funding: Private 1 Laing O'Rourke 3 201 Jarvis Developments Key Contractors centre Contractor: 2 Kier Construction Limited-Building UK 11 115 Date: Jan 2018 – TBC Oct 2016 – Sep 2017 SCOTLAND 10 12294262 2 Funding: Private 3 Skanska UK 1 60 Doune Health Centre Contractor: Hadden Construction Limited 4 Robertson Group Limited 1 59 5 Interserve Plc 11 54 6 John Graham Construction Limited 2 51 7 Balfour Beatty Group Limited 1 49 8 Vinci Construction 4 43 9 Galliford Try Construction 5 33 10 ISG 3 28

Hinderton Point, Lloyd Drive, Cheshire Oaks, Cheshire, CH65 9HQ The ranking tables are compiled from Barbour ABI database and are based on the total value of contracts awarded over the previous 12 month period. The values represent the construction cost of each project. T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 5.1 6.4 22.6

OCTOBER 2017 23.3 8.9 % About Us

5.1 Economic Context 2.2 2.1 2.7 9.2 The Construction Sector EDUCATION… 23.3% 12.3 East Midlands South East Residential London tops East of England South West the regions this London Wales Infrastructure Sector sees 16.4% month North East West Midlands North West Yorkshire & Humber Commercial & Retail reduction in contracts Scotland Hotel, Leisure & Sport EDUCATION 9.1 Universities are the main focus for contract awards but overall Value of contracts by region Industrial education performance is less positive. Source: Barbour ABI

Medical & Health

800 Education In September 2017, the value of contracts awarded 700 &+1%"!2 1&,+0" 1,/40ʐǙǚǕ*&))&,+ 0"!,+ 600 ǘ*,+1%/,))&+$3"/$"ǽ%&040ǖǛǽǙʢ),4"/1%+ Education continues to August and 14.8% lower than September 2016 (see slump with a monthly 16.4% 500 Ɯ$ǽǞǽǗȜǽ +1%"1%/""*,+1%01,"-1"* "/Ǿ1%"3)2" decrease, with sector seeing 400 of contracts awarded was 1.3% higher than for the a decrease in contract 300 previous three months. However, this was 17.1% values three out of the last lower than the same period in 2016 indicating a more Decrease 200 muted longer-term performance for education. four months. showing rolling 3 month average million) (£ Value on August 100 SONDJ FMAMJ JASONDJ FMAMJ JAS 0 2015 2016 2017 Hinderton Point, Lloyd Drive, Source: Barbour ABI Cheshire Oaks, Cheshire, CH65 9HQ 16.4% EDUCATION 9.2 T: 0151 353 3500 Project value showing 3 month moving average E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 EDUCATION… Sector sees 16.4% reduction in contracts

Projects by region # &)&16ǽ%"Ǘǖ*,+1% 2&)!&0!2"1, " ,*-)"1"! "-1"* "/ǗǕǖǛț0""Ɯ$ǽǞǽǙȜǽ%")/$"01 ,+1/ 1 2016. State primary schools were the second most %"/"$&,+)-"/0-" 1&3"&+!& 1"01%1,+!,+ in June 2019. Yorkshire and Humberside also had awarded was for the building of a new swimming popular sub-sector in September with 22% of experienced the highest value share of education 0&$+&Ɯ +10%/",# ,+1/ 104/!"!1ǗǗǽǛʢ -,,)+!0-,/10%))#,/1 ,%+0 %,,)&+-0,*ǽ contract value awarded, a decrease of 14% from contract awards in September with 23.3%, down in September, up from 6.7% in the same month %"ʐǖǕ*&))&,+ ,+1/ 1&0!2"1, ,**"+ "&+ September 2016. #/,*ǘǛǽǙʢ&+"-1"* "/ǗǕǖǛț0""Ɯ$ǽǞǽǖȜǽ%" &+ǗǕǖǛǽ%")/$"01 ,+1/ 140#,/+"40, &) " "* "/ǗǕǖǜ+!404/!"!1,+$"*"+1ǔ OCTOBER 2017 %&$%"013)2" ,+1/ 140#,/1%"&16+&3"/0&16 0 &"+ "0 2&)!&+$#,/1%"+&3"/0&16,#%"ƛ&")!ǽ%" Construction Services Limited. Health Centre on Sebastian Street, valued at £30 £50 million contract will provide a new 4 storey, *&))&,++!4/!"!1,,+01/2 1&,+&*&1"!ǽ ǖǛǾǚǙǚ0.*# &)&16ǽ%"-/,'" 1404/!"!1, Type of projects About Us %"-/,'" 14&))&+3,)3"1%"!"*,)&1&,+,#+ &"/,/1%"/+,+01/2 1&,++!%0-/,'" 1"+! Colleges and universities accounted for 50% of the existing building and construction of a new 7 storey !1,#/ %ǗǕǗǕǽ%",21%01%!ǖǗǽǘʢ,# 1,1)3)2"4/!"!&+"-1"* "/ț0""Ɯ$ǽǞǽǘȜǾ2- Economic Context building to provide a new 7,296 sq m postgraduate contract awards in September, down 5.7% from from 33% in August and 9% higher than September

The Construction Sector

Residential 3 2 Yorkshire and Humber almost took the top-spot Infrastructure 22 away from London with 22.6% contracts award 9% Commercial & Retail value in September, with a £50 million social Increase in college 0 &"+ " 2&)!&+$1%"ƛ&")!+&3"/0&16ǽ )#,# and university Hotel, Leisure & Sport % the contract value on the month came from contracts compared 50 Universities/Colleges. to September 2016 Industrial 14

Medical & Health EDUCATION 9.4 9 Change of activity by region (since Sept 2016) | Source: Barbour ABI Education +2.9% 01&!)+!0 -5.7% ,21%01 Nurseries -2.2% 01,#+$)+! -3.2% South West State Primary

State Secondary -13.1% London -3.9% Wales

Private Schools/ Colleges +1.4% ,/1%01 +6.0% "01&!)+!0

Colleges/ Universities -2.7% ,/1%"01 +15.9% ,/(0%&/"ǔ 2* "/ Special Schools +4.8% Scotland

Arrows indicate change since September last year

Hinderton Point, Lloyd Drive, EDUCATION 9.3 +15.9% Increase for Yorkshire & Humber Cheshire Oaks, Cheshire, CH65 9HQ Type of projects awarded Top Ten Source: Barbour ABI HOTTEST REGION compared to last year CLIENTS, ARCHITECTS, T: 0151 353 3500 CONTRACTORS & PROJECTS E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 EDUCATION… Sector sees 16.4% reduction in contracts

Rank Company Name Awards Value (£M) TOP TEN TOP TEN 1 /!&ƛ+&3"/0&16 8 322 2 Education and Skills Funding Agency 24 201 Key Clients Projects Oct 2016 – Sep 2017 Contract awarded September 2017 3 Department For Education 26 196 4 Essex County Council 30 112 OCTOBER 2017 5 Powys County Council 7 103 Value Rank PID Project Name (£M) Details 6 Bournemouth University 1 100 YORKSHIRE & HUMBER Date: Mar 2018 – Mar 2020 7 %"+&3"/0&16,#%"ƛ&")! 6 93 1 12269970 +&3"/0&16,#%"ƛ&")!Ȕ+"4 50 Funding: Mixed About Us social sciences building Contractor: Kier 8 Ministry of Defence 2 80 LONDON 9 Tauheedul Education Trust 6 69 Date: Sep 2017 – Jun 2019 Economic Context 2 12023144 City University London – 30 Funding: Public 10 St Modwen Developments Plc 3 67 Sebastian Street Project Contractor: BAM Construction Limited

WEST MIDLANDS Date: Oct 2017 – TBC The Construction Sector University Of Wolverhampton – 3 12218609 20 Funding: Mixed school of architecture and built Rank Company Name Awards Value (£M) Contractor: Wates Construction Limited TOP TEN environment Residential 1 Hawkins Brown Architects 9 314 SCOTLAND Date: Aug 2017 – Nov 2017 2 Stride Treglown Limited 28 257 Key Architects 4 12240317 10 Funding: Public Sighthill Community Campus Oct 2016 – Sep 2017 Contractor: City Building () LLP Infrastructure 3 HOK International Limited 3 240 WALES Date: Sep 2017 – Nov 2018 4 Scott Brownrigg Limited 12 171 5 12248503 Coleg Llandrillo – Engineering 10 Funding: Public Commercial & Retail 5 Sheppard Robson 7 168 facility Contractor: RL Davies & Son Limited

6 9 163 SOUTH EAST Date: Dec 2017 – Dec 2018 6 12247634 St Johns School – swimming 10 Funding: Private Hotel, Leisure & Sport 7 Bond Bryan Partnership 16 137 pool building and sports facility Contractor: Management & Construction Services 8 Feilden Clegg Bradley Architects 3 106 EAST MIDLANDS Date: Jan 2018 – Jul 2019 Industrial 9 HLM Architects 5 102 7 12310312 Bluecoat Academy – Two 10 Funding: Private Classroom Buildings Contractor: Kier Construction 10 Holmes Miller 10 100 Medical & Health SCOTLAND Date: Oct 2017 – Oct 2019 8 12232922 Dalmarnock Primary School – 9 Funding: Public Gym/aports pitches Contractor: City Building (Glasgow) LLP Rank Company Name Awards Value (£M) Education TOP TEN LONDON Date: Nov 2017 – May 2019 1 Kier Construction Limited-Building UK 88 703 9 12309558 Tufnell Park Primary School – 8 Funding: Public primary school building Contractor: Morgan Sindall (Construction) Plc 2 Willmott Dixon Construction Limited 59 446 Key Contractors Oct 2016 – Sep 2017 YORKSHIRE & HUMBER Date: Sep 2017 – Sep 2018 3 BAM Construction 20 383 10 12268560 College Of Building – 8 Funding: Public 4 Morgan Sindall Plc 55 355 Hunslet Campus Phase II Contractor: Clugston Construction 5 Wates Construction Limited 14 234 6 Galliford Try Construction 23 224 7 Vinci Construction 5 93 8 Interserve Plc 13 92 9 Balfour Beatty Group Limited 17 91 10 Bowmer & Kirkland Limited 9 83

Hinderton Point, Lloyd Drive, Cheshire Oaks, Cheshire, CH65 9HQ The ranking tables are compiled from Barbour ABI database and are based on the total value of contracts awarded over the previous 12 month period. The values represent the construction cost of each project. T: 0151 353 3500 E: [email protected] W: www.barbour-abi.com @BarbourABI 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 OCTOBER 2017

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