Construction output hit by fall in repair and maintenance

Construction output fell by 0.4% in volume terms in October after a feeble rise of 0.1% in September.

The decrease in monthly activity came solely from a fall in repair and maintenance of 1.3%, as new work edged forward by 0.2%.

At the sector level, both commercial and industrial new work showed stronger growth of 1.7% and 2.4%, but a big monthly fall private housing repair and maintenance of 3.8% acted as a drag on construction as a whole.

The three-month trend figures for construction still remain in positive territory the industry recording 0.4% in the three months to October 2024.

This came solely from an increase in new work of 1.7%, as repair and maintenance fell by 1.2%.

Scott Motley, head of programme, project and cost management at AECOM: “A downturn in output comes as no surprise as we head into the winter months and begin to see the true impact the Autumn Budget has had on short-term decision making.

“As firms look ahead to next year’s pipeline of work, they will be encouraged by the changes announced to the National Planning Policy Framework in a bid to unlock future development.

“Combined with interest rates taking a further drop, the outlook for new infrastructure and housing projects in 2025 looks brighter than it has for a number of years.”

 

 

By

Related Post

Leave a Reply

Your email address will not be published. Required fields are marked *