Construction output will decline drastically over the next 12 months due to a slowdown in the Irish Government's capital investment plan, the Construction Industry Federation (CIF) has claimed.

The CIF has expressed concern over the length of time between the short-listing of projects and the actual commencement of activity, saying it has increased dramatically.

-- Advertisement --

According to this new report, the CIF has identified, in some cases, this time lag to be two to three years.

The Federation said that the Government's plans for new public construction projects over the next four years bears no relationship to evidence on the ground.

As a result, public and private output will drop to €12bn this year and below €10bn next year, it said. This marks a substantial drop from the €19bn spent in 2009.

The report also predicted employment in the sector will fall below 100,000 in 2011 from over 400,000 at the peak of the building boom in 2007.

The CIF also called on the Government to publish a list that would track any major projects due to go out to tender over the next few years.

(NS/BMcC)