Master Builders Australia are confident that prospects for the building industry will remain positive despite the 1.2 per cent fall in construction work done data for the June quarter.
Released by the Australian Bureau of Statistics (ABS), the data reported that Australia as whole had slipped 1.2 per cent in construction work done; thanks mainly to the Engineering sector who fell 3.1 per cent for the quarter.
Building, Residential and Non-residential however all boasted improvements compared to the March 2014 quarter result.
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State by State ABS records show that New South Wales, Victoria, Tasmania and Canberra boasted rises in their construction work done recordings but all other states and territories have recorded declines.
New South Wales is still the dominant state recording over $10 billion worth of construction work done.
Peter Jones Chief Economist of Master Builders Australia said that the easing of engineering construction was not surprising and that the residential and commercial construction sectors have performed well to offset this loss.
From Master Builders:
“Master Builders remains confident that prospects for the building industry will remain positive despite the slight 1.2 per cent seasonally adjusted fall in the ABS construction work done data for the June quarter.
“The easing in engineering construction forecast by Master Builders Building and Construction Industry Forecast was confirmed by the 3.1 per cent seasonally adjusted fall in June.
“However, this was largely offset by building work done in residential building and commercial construction which rose 1.5 per cent seasonally adjusted in the same period.
“House building was particularly strong up 2.2 per cent seasonally adjusted in June following a 7.3 per cent seasonally adjusted rise in May 2014.
“Through the year to June, the volume of construction work done was down by 0.6 per cent, a picture painted by residential building being up 9.6 per cent, non-residential building up 2.9 per cent and engineering construction down 5.6 per cent.
“Building work done was up strongly in New South Wales, Victoria and South Australia with two consecutive quarters of strong growth in residential building boosted by construction of new housing.”