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Press Release: UK PFI Construction Market Development Report

Released: May 2009

After researching the UK pfi construction market development and taking into account various other factors the following conclusions can be drawn from MBD's report:

Market Review 2004-2008:

In 2007/08 public sector gross investment is believed to have increased by 8% to £46.2 billion, this consolidates growth of 11% and 8% during 2005/06 and 2006/07 respectively. Overall, between 2003/04 and 2007/08 public sector gross investment is expected to have increased by 53%. After depreciation, public sector net investment is anticipated to have increased by 11% to £28.5 billion during 2007/08. This follows cumulative growth of 65% evident between 2003/04 and 2006/07. Moreover, the share of net investment to GDP is also believed to increase from 1.4% in 2003/04 to 2.1% in 2007/08.

Market Forecast 2009-2013:

PFI capital expenditure is projected to increase year-on-year between 2008/09 and 2012/13, with growth levels oscillating between 1% and 9%. Growth in the period reflects continued investment in the education, health and waste sectors. Between 2008/09 and 2012/13, the value of PFI capital expenditure is forecasted to increase by a cumulative 16%, to £7.8 billion in the 2012/13.

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