The Society of Chartered Surveyors Ireland (SCSI)
says building costs increased slightly in the first half of 2013, continuing a
trend of moderate price increases dating from the start of 2011 when prices
first began to level off. The Society of Chartered Surveyors Ireland Tender
Price Index, which has been running since 1998 and is the only independent
assessment of construction tender prices in Ireland, shows that construction
tender prices increased by 0.9% since the end of last year and were up 2.7% for
the full year from the first half of 2012. Prices are back to 1999 levels.
Paul Dunne, chair of the Quantity Surveying
Professional Group of the Society of Chartered Surveyors Ireland said, “The slow
upward movement in prices in the first half of the year is due to increases in
building materials and input costs internationally. The moderate rise also
reflects an increasing awareness of the unsustainability of below cost
tendering, which is a practice whereby contractors submit bids at unsustainable
levels to secure the work and has unfortunately resulted in the failure of so
many contractors, sub-contractors and suppliers working on public and private
The SCSI Index reports that since construction tender prices bottomed out at the
end of 2010 and beginning of 2011, construction prices have risen by between 2.5
and 3% per year and this trend looks as though it is set to continue.
Dunne added, “Despite modest increases, current prices are still 40% below their
peak level reached in 2007 and are still only at levels last seen in 1999.”
Check out our
, at a low annual charge of €25.