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15/06/2015

Construction Output Decreases In April

Recent research has revealed output in the construction industry decreased by 0.8% in April compared to March in 2015.

The published Office of National Statistics (ONS) figures show there was a 1.4% increase in March.

Repair and maintenance (R&M) decreased by 4.8% while all new work increased by 1.6%.

All work types in R&M reported decreases, most notably non-housing R&M which fell by 7.2% and public housing R&M which fell by 6.2%.

Within all new work, new housing was the main contribution to the increase of 1.6% in April compared with March, increasing by 5.4% with both public and private housing reporting an upsurge.

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Dr Noble Francis, Economics Director, said: "Total construction output fell slightly in April but this was expected due to the uncertainty prior to the General Election and its adverse impacts on consumer and business confidence.

"Specifically, this influenced the kinds of construction work that can be temporarily delayed such as repairs, maintenance and improvements work, which fell 4.8% in April.

"New construction work was affected to a lesser extent and, despite election uncertainty, private housing output was 4.5% higher than in March and 16.6% higher than one year earlier.

"Overall, construction output was still 1.5% higher than one year earlier and, looking forward, the ONS new orders for construction point to further growth in activity over the next 12-18 months."

(LM/MH)

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