A strong start to 2017 for construction contracts, despite Brexit...
Projects by Region
The majority of the contracts awarded in March by value were in the East Midlands which accounted for 20% of the UK total (see fig 2.4). The largest project in the region awarded in March was the East Midland's Gateway, a rail freight interchange valued at £558 million. In addition, the contract to construct a 300 MW gas turbine in Spalding, Lincolnshire was a large contributor to the regions share. This contract was valued at £450 million and was awarded by Siemens. The South East had the second highest portion of contract activity by value in March accounting for 15% of the value awarded. The highest value contract awarded in March was the residential development in Lily's Walk High Wycombe valued at £75 million. This scheme will construct 239 residential units at a value of £100 million and was awarded to Inland Homes plc. Another large contract awarded in March in the South East was the Worton Grange development, a mixed use commercial project, near Reading. It set to provide a mix of commercial retail and office units as well as a 120 bed hotel and had been awarded to Kier.
Types of Project
Residential had the highest proportion of contracts awarded by value in March with 32% of the total value of projects awarded. (See fig. 2.6)
Projects such as the Lampton Road development in Hounslow which is set to deliver 76 houses at a value of £76.5 million. The Lily's Walk development in Wycombe valued at £75 million was another large project awarded in March. There was also a high value contract awarded for a care residential development called Mount Leven Retirement Village in Yarm, Cleveland. This is set to deliver 332 retirement dwellings at a construction value of £50 million. After the residential sector the next largest in March was infrastructure which accounted 30% of contract value. The two infrastructure contracts in the East Midlands are two of the largest contributors to the sectors share of activity in March. Another example of a major infrastructure contract awarded in March includes the Kype Muir wind farm development in Strathaven valued at £130.3 million, to erect 26 turbines.