Overall, the construction data specialist is forecasting the value of starts valued under £100m to rise 8% next year, increasing to 10% in 2026.

Strengthening household incomes have been identified as set to drive this, with government departments also set to benefit from greater spending clarity since the budget.

The underlying value of starts in both private and social housing are expected to grow by double digits in both 2025 and 2026.

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Private housing has the stronger forecast out of the two subsectors, with growth of 13% and 15% expected in the next two years respectively.

Social housing starts are expected to grow by 11% in both years, benefitting from increases in the Affordable Homes Programme budget.

Specific to housing forecasts, Glenigan economics director Allan Wilén pointed out improvement in incomes, initial easing in mortgage rates and brighter economic outlook will support this market.

“An easing in borrowing costs, improved economic conditions and greater political certainty are also expected to boost investor confidence in industrial and commercial property markets from next year,” added Allan, in his overall outlook.