Construction equipment sales show modest growth in 2018
Retail sales of construction and earthmoving equipment in the UK market grew by 2% in 2018, after experiencing a fall in the last quarter of the year. Prior to the 8% reduction in sales in Q4 (compared with Q4 2017), the trend over the previous two years had been to show steady, but slowing growth on a quarterly basis. The graph below illustrates this trend, showing quarterly sales on an index basis, using Q1 2016 as 100.
The map below shows percentage changes in equipment sales on a regional basis in 2018 compared with 2017. This shows some quite significant differences compared with the national total of 2% growth. The map indicates that the strongest sales were to London and Yorkshire, while the weakest sales of equipment were in the North East of England and in Wales.
Construction output in the UK in 2018 showed only 0.7% growth, according to the latest figures from the Office for National Statistics (ONS). This was the lowest level of year-on-year growth for the construction industry for five years. Against this background, 2% growth in sales of construction equipment can be considered as a positive performance for the year, with sustained demand from the rental sector a key factor.
*The construction equipment statistics exchange was taken over by Systematics International Ltd. in 2017. This scheme is run in partnership with the Construction Equipment Association (CEA), the UK trade association.