The Civil Engineering Contractors Association (CECA) today said that the fall in GDP for the fourth quarter of 2012 may dent confidence in the construction sector, despite a small rise in the industry's output.

The Office for National Statistics (ONS) figures stated that while the construction sector rose marginally by 0.3 per cent, the overall drop in GDP in the fourth quarter of last year was 0.3 per cent, leaving Britain on the precipice of a triple-dip recession.

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Commenting, CECA director of external affairs Alasdair Reisner said: "Today's figures show that while there has been a modicum of growth in the construction sector, the overall drop in GDP places the British economy on a knife-edge.

"Historically, negative growth in the economy dents investor confidence. Yet there are some investors that we will need to attract if we are to maintain and upgrade our national infrastructure.

"It is vitally important that the government continues efforts to free up investment in Britain's infrastructure sector. A failure to do so will put our sector at risk of further declines, with a corresponding negative effect on the wider economy."

(CD)