Architects' Quarterly Workload Survey

2nd Quarter 2011 Results

Look back over the past three quarters and we see a gradual rise in new commissions. Each quarter’s rise is quite small but taken together, new commissions are now 26 per cent higher than this time next year.

What makes us think that a recovery could be underway are two findings: first, impressive levels of growth are being experienced in London and the South East - traditionally regions where past recoveries have started from. Second, private housing work is starting to rise quite boldly - this is the sector which has been the key driver behind past recoveries. Plus, add a third factor: staffing levels have been rising and more staff work in architectural practices now than since early 2009. Strangely, architects remain pessimistic with a majority expecting ‘no change’ over the next six months, while more expect falls than rises.

ARCHITECTS REMAIN PESSIMISTIC

Widespread pessimism continues, with twice as many architects predicting decline as growth. Small practices are the least optimistic.

How architectural practices expect their workloads

will change over the next six months

HOUSING LOOKS INCREASINGLY STRONG, MIXED FORTUNES ELSEWHERE

Strong growth this quarter in private housing to the highest level since 2008. Office work stagnant, retail refurbishment rises. Leisure is flat, health dips but education plummets - very little new work recorded here.

Breakdown of new commissions by sector - Q2 2011

OPTIMISM AND PESSIMISM FINELY BALANCED

Despite the continuing downturn, architects are very evenly balanced in their optimism or pessimism for the future, with nearly half – 45 per cent – saying they expect ‘no change’ in workloads. However, some architects are saying “no change” because they believe their workloads cannot fall any lower. Large practices are far more optimistic than small ones.

Value of new commissions workloads received by architectural practices

2008-2011 Constant (2005) prices, £ millions

LONDON CONTINUES TO GROW

Workloads are higher this quarter in London, the South East, Wales and Northern Ireland. Scotland and the North records no change, while in the Midlands/East Anglia and the South West workloads are down. London has seen sustained growth for the past four quarters.

Minor Works 2012