Strong foundations: Government support for housing and high demand encourages growth

Industry contractors construct residential and non-residential property and offer auxiliary maintenance services. The Irish construction sector is procyclical, meaning that building activity trends run in tandem with the ebb and flow of both public- and private-sector agents' investment in, for example, the development of commercial real estate or the expansion of the housing supply. Meanwhile, the rate of property price inflation can cause volatility in contractors' revenue. Having previously been saddled with a period of lacklustre property investment in the aftermath of the financial crisis, economic recovery and more buoyant investor conditions have since brought a number of urban development projects to more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • The industry has bounced back from previous contraction to record highly impressive growth
  • Since the beginning of the period, economic improvement and government support has supported impressive growth
  • The government's National Planning Framework is expected to support strong ongoing growth
  • Industry Report - Industry Analysis Chapter

    Construction, by its nature, is a cyclical sector, meaning that building activity trends tend to run in tandem with the ebb and flow of state capital expenditure to increase the housing supply, or to develop public buildings, and the procyclical nature of private equity firms', business owners' and real estate developers' property investment. Investment in building projects has also been supported by property price inflation, as this increases equity levels among homeowners and also boosts the potential returns for developers. Credit conditions also have an influence on the propensity for investment into the industry...purchase to read more.

    Additional Insights for the Building Construction Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Building Construction Industry are

  • Ability to compete on tender
  • Having good working relationships with subcontracting building trade specialists
  • Effective cost controls
  • IBISWorld analysts also discuss how external factors such as ECB Marginal Lending Rate and House price index in the Building Construction industry impact industry performance..

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    What's in this report

    What is the Building Construction in Ireland Industry?

    Industry operators construct complete residential and non-residential buildings, either on their own account for sale, or on a fee or contract basis for external clients and property developers. Firms may outsource discrete segments of the construction phase to specialist tradespeople classified elsewhere, including electricians, mechanical engineers and scaffolders. Maintenance and repair solutions for residential and non-residential property also fall under the scope of the industry.

    Industry Products
  • Residential construction
  • Non-residential construction
  • Maintenance and repair
  • Industry Activities
  • Constructing new single- and multi-family residential property
  • Constructing multi-unit housing association buildings
  • Constructing residential property on own land for later sale
  • Constructing residential property on land owned by external clients
  • Constructing commercial, industrial and institutional property
  • Constructing education- and health-related facilities
  • Renovating, remodelling and repairing existing residential and non-residential property
  • Assembling and erecting prefabricated residential and non-residential property
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • ECB Marginal Lending Rate
  • House price index
  • Variable Interest Rate On New Housing Loans
  • Business sentiment index
  • Housing starts
  • Gross Domestic Fixed Capital Formation

  • Current Performance
    Celtic tigerBuilding the recoveryContinued growth
  • Chart: Revenue Growth

  • Industry Outlook
    Foreign investmentPipeline developmentsGrowth impediments
  • Table: Building Construction Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Building Construction Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Building Project Development in Ireland
  • Department Stores in Ireland
  • Warehousing & Storage in Ireland
  • Banks in Ireland
  • Third-Level Education in Ireland
  • Hospitals in Ireland

  • Key Selling Industries
  • Architectural Activities in Ireland
  • Concrete Construction Product Manufacturing in Ireland
  • Construction Supplies Wholesaling in Ireland
  • Consultant Engineering Services in Ireland
  • Demolition & Site Preparation in Ireland
  • Hardware, Plumbing & Heating Equipment Wholesaling in Ireland
  • Mining, Construction & Civil Engineering Machinery Wholesaling in Ireland
  • Structural Metal Product Manufacturing in Ireland

  • Products & Services
  • Residential construction
  • Non-residential construction
  • Maintenance and repair
  • Chart: Building Construction Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Central government
  • Property developers
  • Private companies
  • Homeowners
  • Chart: Major Market Segmentation for the Building Construction Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Subcontractors
  • Wages
  • Capital costs
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Building Construction

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Building Construction Industry

  • Industry Globalization
    John Sisk & Son (Holdings) Ltd,
  • Table: John Sisk & Son (Holdings) Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Building Construction Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Building Construction Industry
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Brownfield Land
  • Previously developed land that is not currently in use, whether contaminated by the presence of hazardous substances or not, but has the potential to be redeveloped.
  • Celtic Tiger
  • A term referring to a period of exponential growth in the economy of the Republic of Ireland between the late-1990s and early-2007.
  • Foreign Direct Investment (Fdi)
  • An investment made by a firm or individual in one country into business interests located in another country.
  • Leprechaun Economics
  • A term coined by economist Paul Krugman to describe the sharp increase in Irish GDP in 2015.
  • Private Rented Sector (Prs)
  • A classification of housing that is alternative to home ownership and rented social housing.
  • Public Private Partnership (Ppp)
  • A cooperative arrangement between two or more public and private sector entities, typically of a long-term nature.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Building Construction in Ireland market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Building Construction in Ireland:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Building Construction in Ireland market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Building Construction in Ireland, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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