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11/06/2018

Industry Slump Continues With Sharp Fall In Output

New figures have revealed a sharp fall in the UK's construction output as the sector continues its recent slump.

The latest data from the Office of National Statistics reveals output fell by 3.4% in April, the biggest fall seen in this three-month on three-month series since August 2012.

Falls in both repair and maintenance and new work contributed to the decline, with falls of 3% and 3.7% respectively. Total new orders between January and March also fell by 4.6%, driven by the continued fall in all other work new orders.

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However, in the month-on-month series, output bounced back in April by increasing 0.5%.

Michael Thirkettle, Chief Executive of construction consulting and design agency McBains, said the statistics show the sector is still in "troubled waters", with continuing uncertainties meaning many UK companies are delaying investment decisions.

"The real test, however, will be in the months to come, given the uncertainty over issues like Brexit that have impacted on UK companies’ commitment to new projects over the last two years," he said.

(LM)

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