Construction output has fallen by 0.7% in March, according to the Office for National Statistics (ONS).

Despite growing on a quarterly basis, the ONS said output had declined for a third consecutive period month-on-month.

Repair and maintenance caused the most downward pressure, shrinking both month-on-month and quarter-on-quarter by 1.8% and 0.2% respectively.

However, compared to the same period last year, output grew by 2.4% for the 12th consecutive period.

In addition, new housing increased month-on-month by 3.8%, month-on-year by 5.4%; and quarter-on-quarter by 0.2%.


Overall, output grew 3 month on 3 month for the fifth consecutive period, rising by 0.2% in the first quarter of 2017.

Michael Thirkettle, Chief Executive of industry consultancy McBains Cooper, said the figures bear out growing concerns of a potential slowdown in the industry due to the UK's withdrawal from the EU.

"After a period of relative stability following Brexit, recent evidence has pointed towards a slowdown in construction as concern grows about what EU withdrawal will mean for the construction industry," he said.

"Political parties of all stripes are now set to outline ambitious manifesto targets to increase housebuilding but these will be hollow promises unless they are backed by concerted action to address skills shortages and increase access to finance, meaning no end in sight for the housing crisis.

"Whoever wins on 8 June, Brexit will occupy much of the government's focus over the next two years, and consequently there will be continuing caution from the private and corporate sectors in construction. Yet the industry needs the opposite - some bold moves and big investments - if it is to produce sustained growth any time soon."

(LM)