The UK commercial building sector has grown for the 32nd consecutive month led by the South East and London.
Commercial building activity hit a five-month high in May, according to the latest Savills commercial development index.
A net balance of +18.1% of commercial developers reported an increase in activity over the month, up from +13.1% in April. Savills鈥� data indicated growth accelerated quickly in the South East, while the rest of the country experienced moderate growth.
The fastest growth was recorded for private retail and leisure projects, with a net balance of +21.7%, the highest result for nearly a year. Meanwhile, public sector work, which fell in the month preceding the UK general election, returned to growth in May.
Savills鈥� index reported growth in eight of the nine categories monitored, with only public office projects reporting a decline.
Simon Collett, head of building and project consultancy at Savills, said: Tthe post-election bounce back has been faster than expected, particularly for the retail sector, which has also benefited from the pick up in occupational activity seen beyond London.鈥�
On balance +19.7% of commercial developers forecast activity levels to improve over the next three months.
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