NIBuilder 36-3 Jul-Aug

CONSTRUCTION INDUSTRY ANALYSIS

A sod-cutting ceremony in May 2025 marked the beginning of construction for the £375m Strule Shared Education Campus in Omagh, with Woodvale Lowry Joint Venture as main contractor.

Work got underway on the new Children’s Hospital in Belfast, to be delivered by GRAHAM, in March 2025.

in 2027. Civil and utilities starts are also projected to climb 27% next year, backed by a €14bn fiscal windfall. Pat McGrath, Insights Manager at CIS, said, “After a volatile year for Northern Ireland’s construction sector, the outlook is improving significantly. With major flagship projects underway and critical infrastructure investment being unlocked, we expect growth to accelerate through 2025 and peak in 2026. It’s a crucial time for delivery – and for suppliers and contractors to prepare.” For access to the full CIS Irish Construction Forecast 2025–2027 and detailed regional data, visit www.cisireland.com “According to the CIS Irish Construction Forecast 2025-2027, total construction starts in Northern Ireland are set to rise from £1.55bn in 2024 to £1.58bn in 2025 and £2.7bn in 2026.”

previous year. • These include 585 new hotel beds, with 158 more underway in Q1 2025. • Planning approvals remain strong, with 36 new hospitality projects valued at £34m greenlit in Q1 2025. CAUTIOUS OPTIMISM IN CIVIL AND UTILITIES Infrastructure remains a critical priority for the region, though delivery challenges persist. New civil project starts fell 70% by value in 2024 to £173m, but £933m has been earmarked in the latest budget to boost roads, public transport and energy projects. CIS analysts expect this to support a renewed surge in activity through 2026 as procurement frameworks stabilise and capacity improves.

• Total construction starts to rise from £1.55bn in 2024 to £2.7bn in 2026 • +2% overall growth in 2025, +71% in 2026 • Housing starts: -2% in 2025, +46% in 2026 • Health and Education project starts over £1bn combined in Q1 2025 • Office starts: +125% in 2024 • Hospitality: 121% increase in 2024 with strong pipeline into 2025 NORTHERN IRELAND FORECAST HIGHLIGHTS (2025-2027) • +19% in overall project starts for 2025 • Civil & utilities: +27% in 2025 • Health: +34% in 2025 REPUBLIC OF IRELAND FORECAST HIGHLIGHTS (2025)

REPUBLIC OF IRELAND OUTLOOK

In the Republic, CIS forecasts a 19% increase in underlying project starts in 2025, driven by strong public investment in health, education, and utilities. Housing, following a front-loaded 2024, is expected to stabilise before rebounding

• Education: +26% in 2025 • Housing: +24% in 2025

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