Construction was the fastest growing sector of the UK economy in the final quarter of 2019 as output increased by 0.5 per cent compared to the previous quarter, according to Office for National Statistics figures.

This was driven by growth of 0.8 per cent in new work, which offset a 0.1 per cent fall in repairs and maintenance.

The largest positive contributors to this growth were private commercial and public new housing, which grew by 2.5 per cent and 8.4 per cent respectively.

Naismiths surveyors director Gareth Belsham says: “For an industry which saw more businesses go to the wall than any other in 2019, the news that construction ended the year as the fastest-growing sector of the UK economy is cause for celebration.

“Growth of 0.5 per cent over the quarter wouldn’t normally set the world alight. 

“But construction’s solid performance offers more than just bragging rights over the UK’s services and manufacturing sectors – it’s also a vindication for an industry that was buffeted more than any other by Brexit uncertainty.”

However he points out that within the detail of the figures, new residential building work fell by 1.1 per cent during the quarter and new orders for private sector housebuilders fell by 8.5 per cent. 

He adds: “Given Britain’s urgent need for thousands of new homes, such weak numbers are a worry.

“But the positives far outweigh the weaknesses. Most satisfying of all is the surge in all new orders – up 4.4 per cent on the previous quarter.

“When you bear in mind that this figure scarcely captures the Boris bounce – which didn’t feed through until after the December election, things start to look even more rosy.

“With early indications from January looking strong, there’s a growing feeling that the industry is turning a corner, propelled by a new sense of optimism and possibility.”

McBains construction and design consultancy managing director Clive Docwra says: “More than anything, these figures reflect an underlying resilience in the sector – given that they cover a tumultuous political period at the end of 2019.

“Still, we’re not entirely out of the woods. The government has offered little in the way of detail on what the UK’s future relationship with the EU will look like, and stoked anxiety by ruling out any extension to the negotiations beyond December 2020.

“Until the sector can see what the future entails with our nearest trading partner, and key source of skilled labour, confidence and funding towards new projects is likely to be stymied.”