Low cost of Birmingham construction makes city ‘better value for money’
The low cost of construction in Birmingham is attracting investment and makes it more appealing than other UK cities including London and Manchester, according to the latest construction sector report.
Building design and construction company Arcadis launched its International Construction Costs report today, providing a comparative index of the cost of construction across 100 global cities. It takes into account 20 different building types from offices to residential, retail and hotels.
It found that globally, Birmingham is cheaper for construction than Manchester and Bristol, as well as comparable cities including Boston and Stockholm.
Arcadis says this lower cost of construction has helped to sustain a thriving local economy, and represents far better value for money. Birmingham rands 23rd for construction costs globally.
Elsewhere, London is the sixth most expensive city in the world for construction, behind big hitters like New York, San Francisco, Hong Kong and Geneva.
The staging of the 2022 Commonwealth Games, multi-million Walsall regeneration programme and development of the HS2 Curzon Street station are all positive indications of strength, said the consultancy.
Simon Marks, city executive for Birmingham at Arcadis, said: “In 2019 and beyond, smart investment in three key areas is going to be crucial for future success.
“Technological innovation and digitization present an opportunity for construction companies to increase efficiency, lower costs and raise productivity, while simultaneously improving the end product for customers and communities alike.
“Secondly, in order to create long term value there needs to be a much stronger focus on how the buildings we construct can work for and meet the changing requirements of the people who actually live in or use them.
“Finally, constructing and operating buildings has a significant impact on the environment, in terms of water and energy use, carbon emissions and waste.
“As a consequence, clients are looking to incorporate resiliency and sustainability into building design and use as part of their business and growth strategy. These key areas all require the whole supply chain to collaborate more deeply to deliver the potential value in the investments being made.”
10 most expensive cities for construction
1. New York City
2. San Francisco
3. Hong Kong
4. Copenhagen
5. Geneva
6. London
7. Macau
8. Zurich
9. Tokyo
10. Boston
Where do UK cities rank?
1.London (6/100)
2.Dublin (17/100)
3.Bristol (20/100)
4.Manchester (22/100)
5.Birmingham (23/100)
6.Liverpool (26/100)
7.Edinburgh (29/100)
8.Glasgow (31/100)
9.Leeds (32/100)
10.Cardiff (39/100)
11.Aberdeen (41/100)
12.Belfast (66/100)
