The 0.2% fall in construction output in January 2025, according to new figures from the Office of National Statistics (ONS), is another indicator that the economy is struggling despite the Government’s strong commitment to back development, says the Federation of Master Builders (FMB).
This decrease in monthly output came solely from a fall in new work (0.7%) as repair and maintenance grew by 0.4%.
Anecdotal evidence from survey returns noted adverse weather, including heavy rain, snow and storms as having a negative effect on output.
At the sector level, three out of the nine sectors fell in January 2025; the main contributors to the monthly decrease were private commercial new work, and private housing new work, which fell by 6.1% and 1.8%, respectively.
Construction output is estimated to have increased by 0.4% in the three months to January 2025; this came solely from an increase in new work (1.4%), as repair and maintenance fell by 0.9%.
The increase in construction output in the three months to January 2025 came solely from November 2024 (0.6%).
Brian Berry, Chief Executive of the FMB said: “Winter is always a challenging period for the construction sector, but it remains concerning to see another 0.2% decline, following the 0.2% decline previously recorded for December.
“With the wider UK economy also contracting in the first month of 2025, it is a worrying time for all the building trades. Builders will be looking forward to some spring sunshine to ensure they can get cracking on with jobs, and the hope that consumers will be more willing to commit to projects.
“Despite the overall slowdown, the 0.4% growth in the repair and maintenance work is an encouraging signal demonstrating the crucial role that small builders play in boosting the UK economy. Local builders make up the vast majority of the building industry and they need a stable economic climate to grow.
“Hopefully, the forthcoming Spring Statement from the Chancellor will help kickstart the economy and get more consumers to spend."
