Decline in construction output

Construction output decreased 2.7% in the first quarter of 2018, according to the latest ONS figures, the biggest fall seen in this series since August 2012.

The three-month on three-month decrease in construction output was driven by falls in both repair and maintenance, and new work, which fell 2.8% and 2.6% respectively.

Following several months of consistently strong growth, private housing also experienced a slowdown in March 2018, contracting in the three-month on three-month series by 1.6%.

Construction output also fell in the month-on-month series, contracting by 2.3% in March 2018.

ONS said it had received some anecdotal information from a small number of survey respondents regarding the effect of adverse weather on their businesses in February and March 2018.

“The adverse weather conditions across Great Britain could have potentially contributed to the decline in construction output, although it is difficult to quantify the exact impact on the industry,” it said.