Analysis by Aecom suggests that recent growth in Northern Ireland’s construction sector is set to continue.
“Northern Ireland has shown remarkable resilience and growth, outperforming all other UK regions with a 10.5% increase in annual construction output,” said Aecom’s Northern Ireland director, Jody Wilkinson. “This trend looks set to continue in the coming year, as Northern Ireland breaks free from its short-term economic mindset. With longer-term comprehensive spending plans on the horizon, the construction sector is kicking off 2025 in a stronger, more stable position than a year ago. With projects in Northern Ireland being integrated into all-island programmes of long-term work, there is the potential for a more joined-up approach to infrastructure planning and delivery.”
Aecom’s Ireland Annual Review 2025 reveals a 10.5% annual rise in construction output in Northern Ireland between April 2023 and April 2024, driven by a 6.3% increase in new work and a 17.7% surge in repair and maintenance year on year. Tender price inflation stabilised at 1.8% in 2024, following two years of unusually high rates, with a predicted rise to 2.5% in 2025, aligning with broader economic trends.
Export strengths also stood out, with Northern Ireland continuing its long-standing capabilities in docks-based physical exports. Strong performance in plant, machinery, and vehicle production reflects the region’s ability to adapt to global decarbonisation demands.
Tourism potential remains significant too, with cross-border tourism between the Republic of Ireland and the North more than tripling over the past decade, presenting considerable opportunities for collaboration and economic growth.
Dampening the good news was a 5% decline in house-building in 2024. While the housing slowdown in mainland Britain has been attributed to economic circumstances, in Northern Ireland it is down to ageing drainage and wastewater infrastructure presenting a bottleneck for house-building, Aecom says. It says that targeted investment here could unlock significant market potential.
“Infrastructure needs champions – political and otherwise – to drive a joined-up approach,” Wilkinson continued. “Northern Ireland has proven its resilience. Now it’s time to take that forward-thinking attitude and embed it in our planning and delivery to ensure a prosperous, sustainable future.”
