A recent Ulster Bank briefing for CIF members heard the bank’s Chief Economist Simon Barry speak about positivity returning to the constructions sector and the general Irish economy.
“The growth we’re experiencing is as strong as anything seen over the past 20 years,” he told CIF members gathered at the bank’s HQ in Dublin.
Simon Barry added that the regions should also be optimistic: “We are facing a scenario where the improvement is not just Dublin based,” he said.
The volume of car and commercial vehicle sales is also a good indicator of growth and general positivity, he said.
“Back in 2007 over 45,000 cars and commercial vehicles were sold in Ireland. That number plummeted to 10,000 the following year, flat lined for another five years until 2014 when 15,000 vehicles were sold.”
The economist also pointed out that construction is out performing the general economy, saying that of the 27,000 jobs most recently created, 13,000 were in the construction sector.
A note of caution was sounded about the lack of capital expenditure over the next five years, but, in terms of housing, the sector is ““miles away from where we need to get to”. In 2014 there was just 2% turnover of the country’s total housing stock.
Also speaking at the event, CIF Director General Tom Parlon said the Ulster Bank Purchasing Managers’ Index is “a very good bellwether for the industry.”
First started 15 years ago the Index is panel based and new companies are always welcome to join.
Our image shows CIF Director General Tom Parlon with (L) Simon Barry, Chief Economist, Ulster Bank and Gervaise McAteer, Director Commercial Real Estate & Specialist Relationship Management at Ulster Bank.
This feature first appeared din the June/July issue of Construction magazine