EDINBURGH: The Construction Skills Network forecasts growth for Scotland's construction sector this year.

The Scottish construction industry is expected to be one of the better performing regions with an annual average growth rate of 2.8%, behind only the East of England. This figure is also substantially stronger than the projected UK figure of 1.7% according to ConstructionSkills, the Sector Skills Council for the construction industry.

The key findings in the report highlight that the strongest sector in Scotland will be the private housing sector, with an annual average growth rate of around 10%, significantly more buoyant than the next strongest sector, public housing.

Growth is expected to return in 2010, with output increasing by 3%. Further moderate growth of 4% is forecast in 2011, giving an annual average growth rate over the two years of 3.6%.