The 1.4 per cent fall in construction output for the first four months of this year, marks a worrying trend in what is happening to the construction sector, says the Federation of Master Builders (FMB) in response to the latest ONS Construction Industry output data for April.
The Office for National Statistics published estimates of construction output, new orders, and output prices for April 2024.
Monthly construction output is estimated to have decreased by 1.4% in volume terms in April 2024, with the monthly value in level terms at £14,940 million.
The fall in monthly output came from decreases in both new work (1.9% fall), and repair and maintenance (0.8% fall); anecdotal evidence from survey returns suggests effects of heavy rainfall and strong winds affected output in April.
At the sector level, seven out of the nine sectors saw a fall in April 2024; the main contributors to the monthly decrease were private housing new work, and private housing repair and maintenance, which fell by 4.4% and 2.5%, respectively.
Construction output is estimated to have decreased by 2.2% in the three months to April 2024; this came from decreases in both new work (2.8% fall),
Brian Berry, Chief Executive of the FMB commented: “The latest ONS figures show a worrying trend emerging, with decline in construction output recorded in each of the first four months of 2024. While survey data collected by the ONS indicates that continued wet and windy conditions once again contributed to the struggles of construction firms, the stagnation seen across the UK economy suggests this is part of a wider problem.
“The performance of the construction industry is a key element of the UK’s overall economic performance. With the General Election fast approaching, and all of the major political parties claiming sustainable long-term growth will be a priority, it is essential that construction receives the attention it needs.
“By boosting house building rates, providing support to people looking to carry out energy efficient upgrades to their homes, and taking steps to address the current skills crisis in construction, the next government can set the UK on the road to a brighter future.”
