Construction output dips in April: ONS | Mortgage Strategy

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Fresh data from the Office for National Statistics shows that construction output suffered a 2% monthly drop in April, totalling £14bn.

This compares to a rise of 5.8% in March.

The ONS adds that despite this recent dip, output remains above February 2020’s level – by 0.3%, or £44m.

Falls in the level of both new work, by 2.9%, and repair and maintenance, by 0.6%, drove the lowering of April’s figure.

Looked at quarterly, however, the ONS report shows that construction output grew by 5.1% in the three months to April through a 5.2% rise in new work and a 4.9% improvement in repair and construction.

Beard financial director Fraser Johns says: “The fact that output dropped by 2% in April is likely to be more of a reflection of the very strong growth we saw in March. The three months to April showing more than 5% growth overall, gives some context to that April fall.

“We’re still above pre-pandemic levels of output and during Q1 we saw a 5.1% increase in new work, according to today’s stats, which really points the way for how May and June have been unfolding.

“The sector is recovering at pace as we saw with the latest UK Construction PMI figures putting new business and orders at their highest level since 1997. But that is also putting huge demand on supply chains which are struggling with the current global shortage of materials.

McBains managing director Clive Docwra adds: “Today’s figures show that although confidence is returning to the construction sector, this remains delicate and growth in specific work sectors is mixed.

“While overall output remains just above pre-pandemic levels, driven by an increase in repair and maintenance work, new work contracts declined which bucks recent growth trends.

“Private new housing work was the largest contributor to this fall, which will pose a risk to the government’s housebuilding targets.”


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