Prices now up 5.5% year on year
Tuesday 1st September 2015. The latest Tender Price Index published by the Society of Chartered Surveyors Ireland (SCSI), shows that construction tender prices increased by 2.6% in the first half of 2015.
According to the SCSI Index, which is the only independent assessment of construction tender prices in Ireland and has been running since 1998, tender prices are up 5.5% year on year.
Micheál Mahon, Chairman of the Quantity Surveying Professional Group of the SCSI said “Construction Tender Prices have continued to increase during 2015 and this trend is likely to continue as activity in the industry picks up and major projects such as the National Children’s Hospital and multiple new commercial projects come on-stream.”
“While the increase in construction tender prices is most apparent in the Greater Dublin area it is now starting to spread out across the country. Factors contributing to the increases include a shortage of certain specialist sub-contractors especially glazing and curtain walling, an increase in mechanical and electrical prices and the relative weakness of the Euro versus Sterling which is giving rise to increased costs of some imported materials.”
Mahon said that it was important that companies taking on building projects of any significant duration to make the appropriate provisions for future tender inflation and that their Chartered Quantity Surveyor would be best placed to ensure the appropriate cost control plans are put in place.
Notes to Editor
The Index is the only independent assessment of construction tender prices in Ireland. It is compiled by the Quantity Surveying members of the Society based on actual tender returns for non-residential projects during the period in question. It is based on predominately new build projects with values in excess of € 0.5m and covers all regions of Ireland. The Index is therefore a measure of average price increases across differing project types and locations. It should be regarded as a guide only when looking at any specific project, as the pricing of individual projects will vary depending on such factors as their complexity, location, timescale, etc.
The Index numbers since 1998
| First Half 1998 |
100.0 |
Second Half 2004 |
139.4 |
First Half 2011 |
101.5 |
| Second Half 1998 |
103.8 |
First Half 2005 |
142.6 |
Second Half 2011 |
103.5 |
| First Half 1999 |
108.6 |
Second Half 2005 |
144.7 |
First Half 2012 |
104.5 |
| Second Half 1999 |
116.1 |
First Half 2006 |
146.7 |
Second Half 2012 |
106.4 |
| First Half 2000 |
121.7 |
Second Half 2006 |
151.7 |
First Half 2013 |
107.3 |
| Second Half 2000 |
130.7 |
First Half 2007 |
152.0 |
Second Half 2013 |
109.7 |
| First Half 2001 |
132.2 |
Second Half 2007 |
145.2 |
First Half 2014 |
112.0 |
| Second Half 2001 |
136.9 |
First Half 2008 |
140.7 |
Second Half 2014 |
115.2 |
| First Half 2002 |
133.9 |
Second Half 2008 |
130.0 |
First Half 2015 |
118.2 |
| Second Half 2002 |
130.1 |
First Half 2009 |
116.4 |
|
|
| First Half 2003 |
127.2 |
Second Half 2009 |
107.7 |
|
|
| Second Half 2003 |
129.3 |
First Half 2010 |
103.7 |
|
|
| First Half 2004 |
135.3 |
Second Half 2010 |
101.5 |