Construction output rises 2.1%, ONS figures reveal

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construction output
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The latest Office for National Statistics (ONS) figures for construction output have shown a slight increase for the three months to September

Construction output figures for Quarter 3 (July to Sept) showed have crept up to 2.1% and continued to recover despite a relatively weak start to the year.

The recent data follows a fall of 1.6% in Quarter 1 (Jan to Mar) 2018 and an increase of 0.8% in Quarter 2 (Apr to June) 2018.

It is suggested the increase for Quarter 3 was driven by all new work which increased by 2.8%, and repair and maintenance which increased by 1.0%.

The level of the all work series for September 2018 reached £13,995 million – a record high since monthly records began in January 2010.

Quarter 3 also saw output increase to £872 million compared with Quarter 2 2018.

The most notable contribution to growth came from private housing work, which increased by £507 million between Quarter 2 2018 and Quarter 3 2018.

In addition, other notable calendar quarter growth came from non-housing repair and maintenance and infrastructure, increasing by £230 million and £191 million respectively.

Commenting on construction figures Clive Docwra, Managing Director of leading construction consulting and design agency McBains, said: “Today’s figures are encouraging and show that the industry is building some momentum – with three-month on three-month growth recorded again”

“However, issues such as Brexit and the high cost of imported materials are still hanging over the sector and holding back key investment decisions.

“Recruitment is also a growing issue, with wages of scarce skilled tradespeople continuing to rise and the future status of EU-workers in the UK still unclear beyond March 2019.”

McBains is a consulting and design agency specialising in property, infrastructure and construction.

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