Construction output continued to decline in Northern Ireland in the second quarter, according to the government's official statistics.

The Northern Ireland Construction Bulletin reveals that local construction output in the second quarter was almost four per cent down on the previous quarter and six per cent lower than the same quarter in 2013. Construction output in Northern Ireland is now at almost half of its peak in 2007.

John Armstrong, Managing Director of the Construction Employers Federation (CEF) said: "After five years of the worst construction downturn in generations the long awaited recovery has simply not materialised in terms of construction work on the ground in Northern Ireland. Without the remarkable success of our local companies in winning work in Britain, the Northern Irish construction industry would still be stuck in the doldrums. We estimate that the top 20 local construction companies turnover approximately £1.5 billion of which £1 billion is now generated outside Northern Ireland.

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"However, the lack of construction activity on home soil has major economic and social consequences. With every £1 invested in construction generating £2.84 in the wider economy the sector stands out for its multiplier effect, job creation and local supply chain. Investment in construction activity in Northern Ireland is now £1.5bn per annum lower than in 2007.”

"The Northern Irish economy needs a strong construction sector. It is clear that the sector is in need of focussed attention from the Northern Ireland Executive at this time, not only with regard to budget allocations but also policy initiatives to facilitate private sector construction spending. The pressures on the resource budget have already led to substantial job losses in construction companies engaged to deliver public sector maintenance contracts. There is serious concern that worse is to come."

(CD/MH)