Monthly construction output grew by 0.5% in June lifted by rises in both new work (0.9%), and repair and maintenance (0.1%).
While growth in June was weaker than the 1.7% rebound seen in May, the latest figures from the Office of National Statistics show seven out of the nine construction sectors grew.
The main growth drivers for construction in June were in non-housing repair and maintenance, and private commercial new work, which grew by 3.2% and 2.1%, respectively.
But the second quarter figures for April to June were just down by 0.1% on Q1 after the big April washout caused by heavy rain.
Looking forward, there was also strong uptick in orders for the second quarter of the year.
Total construction new orders grew by 16.5%, an increase mainly coming from private commercial, and infrastructure new work, which jumped by 15% and 23% respectively.
Scott Motley, head of programme, project and cost management at AECOM: “A second consecutive month of increasing output is further proof of the sector trending in the right direction, and there’s reason to be confident that this will only continue.
“Housebuilding has long been a drag on the sector’s output, so Labour’s quick action to accelerate the delivery of new homes should bolster both confidence and work pipelines. And, combined with interest rates beginning their descent, it’s likely we’ll also see more emboldened clients firing the starting gun on new projects.
“The key challenge now will be increasing capacity, particularly addressing shortages of skilled labour, to help the industry absorb the influx of new orders.”
