Construction workloads in Northern Ireland drop at fastest pace in two years

Activity in Northern Ireland’s construction industry has fallen for the fifth consecutive quarter, with the pace of decline hitting the fastest level seen in two years, according to the Royal Institution of Chartered Surveyors (RICS) third quarter construction monitor.

Surveyors across all sub-sectors reported reduced workloads compared with the previous quarter. Public and private housebuilding, industrial construction, and infrastructure projects all registered declines, with infrastructure seeing the sharpest fall, reaching its lowest balance since 2020.

Respondents indicated concerns over profit margins, which are expected to remain constrained over the next year. Persistent shortages in skilled roles, particularly bricklayers and quantity surveyors, continue to challenge project delivery and operational efficiency.

Jim Sammon, RICS’ regional construction spokesman, noted that Northern Ireland is lagging behind other UK regions in construction activity, reflecting subdued momentum across the wider market. The decline in infrastructure workloads is of particular concern, given the significant role of public sector projects in local construction.

The survey highlights the ongoing pressures faced by the sector, including rising costs, labour shortages, and broader economic and geopolitical factors affecting confidence and project pipelines. These challenges are anticipated to persist into the final quarter of 2025, potentially impacting the delivery of both public and private infrastructure.

Northern Ireland’s downturn contrasts with more stable performance in some other UK regions but underscores the vulnerability of the sector to macroeconomic headwinds and supply constraints. Companies operating in the region may need to adjust capacity planning, project timelines, and resource allocation to mitigate the effects of the slowdown.

Explore the full survey results and regional analysis for a detailed breakdown of sector trends in the complete story.