Cost Escalation Forecasts
What are Cost Escalation Forecasts?
Robust and transparent cost escalators are needed to assist with budget setting and business cases in a range of contexts including transport, water, other infrastructure projects, and local government Long Term Plans. Cost escalation is always a consideration in setting budgets, but no more so than in the current high-inflation environment. Our cost escalation forecasts detail our expectations for inflationary pressures in different parts of the economy.
Our experience
With over 30 years’ experience in forecasting the outlook for the macroeconomy, the building and property industry and the transport industry, Infometrics has considerable expertise in understanding and forecasting industry-specific inflation. Infometrics regularly provides forecasts of cost escalation for the construction and infrastructure sector, which are used by builders, government agencies and private sector contractors.
In recent years, we have also been frequently asked to analyse and determine the best cost escalation rates for different parts of the economy, including our 2022 analysis of inflation in the education sector, cost escalation and materials forecasts in the construction sector, analysis of transport infrastructure costs in local government, and long-term local government cost escalation.
Our point of difference
Our cost escalation forecast reports are presented in straightforward language that is easy to understand. Our reports cut to the point. We present our cost escalation forecasts upfront and support them with commentary that explains the macroeconomic issues and assumptions underpinning our forecasts for that period. Our economists are also on hand to guide you through the issues relevant to your sector.
Infometrics is also available to discuss more customised analysis of cost escalation forecasts, or related Long Term Plan insights and inputs. Depending on levels of interest, we will consider further cost escalation updates later in 2023 and into 2024.
Cost escalation forecast options
Specific cost escalation forecasts for your area
Infometrics has considerable experience in analysing and determining the right cost escalation measures for your particular situation. We regularly provide forecasts of construction and infrastructure cost escalation, including detailed materials and wage forecasts, as well as other forecasts across transport, local government, and other sectors.
Get in touch with our team about bespoke forecasts for your project, business area, or sector. We'll work with you to understand the sorts of forecasts you need (sector-level trends, materials forecasts, or something else), and then undertake our analysis.
Infometrics Local Government Cost Escalation Forecast Report 2023
Our August 2023 Infometrics Local Government Cost Escalation Forecast Report will provide you with annual forecasts of four relevant cost escalation groupings. You will also get commentary from our expert economists on the economic outlook that underpins these cost forecasts, what will drive cost pressures in future, and analysis of recent cost escalation in the high-inflation environment we find ourselves in.
Specifically, our August 2023 report will provide forecasts of:
- overall local government spending
- transport infrastructure input costs
- water infrastructure input costs
- local government labour costs
These forecasts will be for 2023/24 (the current year) to 2034/35. Also included will be five years of historical data.
How do I get access to Infometrics cost escalation forecasts?
If you interested in purchasing a copy of our local government cost escalation analysis, or want to talk to us about your needs for more bespoke forecasts, please contact Brad Olsen, by clicking on the link below or calling us on (04) 909 7612.
