. Construction output in the West Midlands hasdeclined every year since 2005, with the steepestannual drop in 2009 of over 20%. Despite a 14%increase in 2010, Cebr predict that the industry'sdirect GVA contribution will have fallen in real termsby just under 9% between 2007 and 2010.. The volume of new housing fell by 22% in 2008 andby a further 31% in 2009. The 16.4% increase in2010 was driven by a 64% increase in the volume ofnew public housing. New infrastructure grew by over 15% in 2008 andby 16% in 2010, but declined in the intervening yearby 6%. . The number of FTE jobs in the West Midlandsconstruction industry stands at an estimated 94,228in 2011, a 20% fall from 2007. . The situation shows little sign of improvement with a 7% decline in the number FTE jobs inconstruction in 2011.Economic contribution to the WEST MIDLANDS© Centre for Economics 20and Business Research Ltd, 2011Source: ONS, Nomis, Cebr modelling Real GVA and FTE jobs in the West Midlands - 20 40 60 80 100 120 140 - 1,000 2,000 3,000 4,000 5,000 6,000 7,000 2007 2008 2009 2010 2011 GVA constant prices (£m, LHS) Full-Time Equivalents (FTE) ('000s, RHS)

Economic contribution to the WEST MIDLANDS© Centre for Economics and Business Research Ltd, 201121. The sector accounted for 7.0% of the region'sworkplace GVA in 2008.. The total contribution to regional GVA of the sectorstood at £16,457m in 2010. The correspondingregional multiplier is 91.5% of the UK multiplier,meaning that about 8.5% of the impact of theconstruction sector in the West Midlands is feltelsewhere in the UK. . The construction sector accounted for 6.3% of totalworkforce jobs in 2011, down from 7.5% in 2007.. A total 327,218 FTE jobs were supported byconstruction activity throughout the West Midlands in 2011, compared to the 405,897supported in 2007.. The construction sector comprised 21,725enterprises in 2011, 21,700 of which were SMEs.Their construction activities supported a further30,966 SMEs throughout the region - a total of52,666 being supported through construction supply chains.Source: ONS, Cebr modelling Direct GVA and employment contributions and total direct, indirect and induced impacts on the West Midlands regional economy Year 2007 2008 2009 2010 2011 GVA (£m, constant 2010 prices) 6,625 6,416 5,454 6,051 Total GVA impact (£m, current prices) 17,776 17,917 15,203 16,457 Direct employment (FTE jobs) 116,885 116,021 104,741 101,188 94,228 Total employment impact (FTE jobs) 405,897 402,897 363,724 351,389 327,218