Scotland business

£128m health building contracts awarded in Scotland

Artist's impression of the neuroscience centre Image copyright NHS Lothian
Image caption The £72m neuroscience centre at Edinburgh Royal Infirmary will be built by Brookfield Multiplex

Scotland accounted for more than half of the total value of medical and healthcare construction contracts awarded throughout the UK in June.

More than a quarter of industrial and education construction contracts were also signed in Scotland.

Analysts Barbour ABI said this further boosted the Scottish economy, which has now returned to pre-2008 levels.

The largest contract signed in Scotland during June was the £100m Macallan distillery on Speyside.

The report, Education and Market Construction, showed that the value of medical and healthcare construction contracts in Scotland totalled more than £128m in June.

This accounted for 54.5% of the overall contracts awarded for the sector UK-wide, an increase of 41.8% on June 2013.

They included the Neuro Science project at Edinburgh Royal Infirmary, which is worth £72m, and the £46m Ayrshire Central Hospital Mental Health Hospital contract.

'Much-needed injection'

Michael Dall, lead economist at Barbour ABI, said Scotland also accounted for 27.4% of industrial and 25.4% of education contracts in June, an increase of just over 20% on the same month in 2013.

He said: "The award of Scotland's Schools for the Future projects also gave education construction in Scotland a much-needed injection of investment in June, with state secondary schools the main types of project awarded.

Image copyright Rogers Stirk Harbour and Partners
Image caption Macallan is to redevelop its Speyside distillery

"This should provide a further boost to the Scottish economy after yesterday's figures confirming output is now back above 2008 levels."

The Economic and Construction Market Review is a monthly report designed to give valuable insight into UK construction industry performance.

It is compiled from Barbour ABI's records of construction data for every UK planning application, and key indicators, such as the Office for National Statistics' Construction New Orders data.

The other big contracts awarded during June included the Nigg Energy Park in Easter Ross (£37m), Madras College in Fife (£40m) and three other secondary schools as part of the Scottish government's Schools for the Future project.

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