Calgary

House construction spending dips 20% in Alberta

Investment in new housing construction in Alberta plummeted right along with the price of oil over the past year, Statistics Canada confirmed in a report released on Monday.

New residential building construction increased 3.9% nationally, Statistics Canada report says

Investment in new housing construction in Alberta has declined by almost 20 per cent since the start of last year. (Reuters)

Investment in new housing construction in Alberta plummeted right along with the price of oil over the past year, Statistics Canada confirmed in a report released on Monday.

Spending was down 19.3 per cent year-over-year as of January, dropping from almost $850 million to $685 million.

Apartment and apartment-condominium buildings were the exception, as spending on those rose 22.5 per cent reaching $195 million.

Nationally the picture is brighter, with spending surges in Ontario, Quebec and British Columbia leading to a 3.9 per cent jump to $3.7 billion.

Spending in Ontario increased over the past year by 23.4 per cent, reaching $1.5 billion in January. The gains were led by higher spending on single-family homes, apartments, condos and row houses.

"Investment in new housing construction declined in the remaining provinces in January compared with January 2015, with Alberta, Saskatchewan and Manitoba registering the largest decreases," the report said.

In British Columbia, spending on new housing was up 14.3 per cent, reaching $695 million.

Spending was up 1.1 per cent in Quebec, totalling $512 million compared with a year ago.