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Northern Ireland's construction sector is currently experiencing its strongest performance in 15 years, with output significantly increasing. However, despite this growth, experts are highlighting a critical need for planning reforms and infrastructure investment. These changes are vital to address the pressing social housing shortage and ensure communities like North Belfast can truly benefit from future development.
2026/01/14
Good news for our local economy! Northern Ireland's construction sector is flourishing, reaching its highest output level in a decade and a half. A recent review indicates that construction output rose by an impressive 7.3 percent in the year to June 2025, significantly outperforming the rest of the UK.
This robust growth has been attributed in part to the return of political stability in 2024, which helped to restore confidence and unblock previously stalled projects. The sector has seen a particularly strong performance in repair and maintenance work, now more than 55 percent above pre-pandemic levels. Housing output has also surged by nearly 26 percent, making up over a third of all construction activity in the second quarter of 2025.
However, amidst this positive outlook, a pressing challenge remains – the urgent need for more homes, especially social housing. Worryingly, only one new social housing start was recorded over the past year, far short of what's needed to meet long-term demand. With over 49,000 households on waiting lists and wastewater constraints impacting new development across Belfast, the message is clear: Northern Ireland's 15-year housing strategy cannot succeed without significant infrastructure reform.
Experts are calling for several key changes to ensure this construction boom translates into real benefits for our communities. These include clearer, long-term funding strategies, more collaborative delivery models, earlier involvement from supply chains, a stronger public-sector capacity, and a fresh look at public-private partnerships. Crucially, faster planning and consenting processes are also highlighted as essential.
These priorities aim to transform investment into tangible results, helping to unlock development, accelerate progress, and strengthen communities right across the country, including here in North Belfast. With the upcoming Investment Strategy for Northern Ireland 2050 on the horizon, ensuring readiness is paramount to turning ambitious plans into new homes and vital infrastructure for everyone.