{"id":101693,"date":"2021-11-11T09:08:25","date_gmt":"2021-11-11T09:08:25","guid":{"rendered":"https:\/\/www.pbctoday.co.uk\/news\/?p=101693"},"modified":"2021-11-11T09:08:25","modified_gmt":"2021-11-11T09:08:25","slug":"construction-output-september-2","status":"publish","type":"post","link":"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/construction-output-september-2\/101693\/","title":{"rendered":"Construction outputs rises in September, but new orders fall"},"content":{"rendered":"<h2>Monthly construction output grew 1.3% in volume terms in September, but quarterly figures dropped by 1.5%, reflecting the volatility in certain sectors<\/h2>\n<p><a href=\"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/construction-output-august-4\/100316\/\" target=\"_blank\" rel=\"noopener noreferrer\">Monthly construction output<\/a> grew 1.3% in volume terms in September 2021, as new work and repair and maintenance both grew on the month, increasing by 1.3% and 1.2% respectively, according to the latest <a href=\"https:\/\/www.ons.gov.uk\/\" target=\"_blank\" rel=\"noopener noreferrer\">ONS<\/a> figures.<\/p>\n<p>The level of construction output in September 2021 was 1% (\u00a3141m) below the level of February 2020, before Covid.<\/p>\n<p>New work was 3.5% below the February 2020 level, while repair and maintenance work was 3.9% above the February 2020 level.<\/p>\n<p>In contrast to the monthly growth, quarterly construction output fell 1.5% in Q3 2021, compared with Q2 2021. Both new work (0.3%) and repair and maintenance saw decreases (3.6%).<\/p>\n<p>Total construction new orders fell 9.2% in Q3 2021, compared with Q2 2021.<\/p>\n<p>The annual rate of construction output <a href=\"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/material-price-inflation\/101422\/\" target=\"_blank\" rel=\"noopener noreferrer\">price growth<\/a> was 5.1% in September 2021 \u2013 this was the strongest annual rate of construction output price growth since records began in 2014.<\/p>\n<p>At the type of work level, the annual rate of price growth in the 12 months to September 2021 was at its strongest in new housing (7.5%) and private industrial new work (6.3%).<\/p>\n<h3>\u2018Volatility in certain work sectors\u2019<\/h3>\n<p>Clive Docwra, managing director of <a href=\"https:\/\/mcbains.co.uk\/\" target=\"_blank\" rel=\"noopener noreferrer\">McBains<\/a>, said: \u201cSeptember\u2019s return to growth will give the construction industry a degree of encouragement that it may be turning the corner, after five successive falls in monthly output.<\/p>\n<p>\u201cThe industry will be cautious however, as output is still below pre-pandemic levels.\u00a0The Quarter 3 figures also published today also show a fall in output compared to Quarter 2, reflecting the volatility in certain work sectors \u2013 a decline in infrastructure and private commercial new orders in particular.<\/p>\n<p>\u201cThe quarterly figures also reflect that supply chain problems linked to a shortage of haulage drivers were impacting to a certain extent, but these should be past their peak and are smoothing over.<\/p>\n<p>\u201cHowever, the cost of <a href=\"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/materials-crisis-delays\/99492\/\" target=\"_blank\" rel=\"noopener noreferrer\">essential materials<\/a> remains high, and skills shortages are still biting, leading to some new work being put on hold because there just aren\u2019t enough skilled workers available.\u201d<\/p>\n<h3>\u2018A strong foundation for the sector\u2019<\/h3>\n<p>Mark Robinson, group chief executive at <a href=\"https:\/\/www.scape.co.uk\/\" target=\"_blank\" rel=\"noopener noreferrer\">Scape<\/a>, commented:\u00a0\u201cConfirmation of September\u2019s growth will provide a strong foundation for the sector heading into what is likely to still be a challenging end to the year \u2013 characterised by further inflation, and disruption to labour and supplies.<\/p>\n<p>\u201cWhile these factors will undoubtedly inhibit the chances of an all-out building boom going into 2022, the outcomes of <a href=\"https:\/\/www.pbctoday.co.uk\/news\/energy-news\/cop26-week-one-rundown\/101499\/\" target=\"_blank\" rel=\"noopener noreferrer\">COP26<\/a> will go a long way to sustaining growth this winter as the carbon footprint of the built environment comes into sharper focus.<\/p>\n<p>\u201cThe UK has set its stall out as a global leader on net zero, but an extensive programme of retrofitting and regeneration, supported by \u2018carbon-first\u2019 procurement, is needed if we are to reduce current and future emissions to the levels needed.\u201d<\/p>\n<div class=\"mk-custom-module-container\">\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Monthly construction output grew 1.3% in volume terms in September, but quarterly figures dropped by 1.5%, reflecting the volatility in certain 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