New figures have revealed output in the UK construction industry declined by 0.9% in the second quarter of 2016.

According to the Office for National Statistics (ONS), output decreased 0.7% compared with Q1, while new work fell by 0.8% and repair and maintenance declined by 0.5%.

The slump means the industry has technically re-entered into a recession for the first time since 2012.

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Samuel Tombs, chief UK economist of Pantheon Macroeconomics, said the downturn looks set to continue into the third quarter.

"June's official data confirm that the construction sector re-entered recession in the first half of this year, as public sector cuts and Brexit risk took their toll," he said.

"The downturn looks set to deepen in the third quarter. July's construction PMI broadly is consistent with output falling by about 3.5% quarter-on-quarter. Meanwhile, Brexit negotiations will be protracted, so businesses will hold off committing to major capital expenditure for a long time to come."

However, ONS said there is "very little anecdotal evidence" present to suggests the EU referendum has had an impact on construction output.

(LM/CD)