Statistical bulletin: New Orders in the Construction Industry, Q3 2011

Headline figures

• The total volume (in £m) of all new construction orders in the third quarter of 2011 rose by 12.8 per cent compared with the second quarter of 2011.
• The total volume of new construction orders fell by 5.5 per cent compared with the same period in 2010.
• The largest contribution to growth in the third quarter came from private commercial which increased by 21.4% compared with the second quarter.

Introduction

This bulletin shows new orders in the construction industry for the third quarter of 2011.

Orders for new construction

Construction new orders total

Source: Construction: Contracts & New Orders - Office for National Statistics

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Orders for new construction (constant (2005) prices, seasonally adjusted)

Great Britain

Table source: Office for National Statistics

Table notes:

1. R = Revised since 2011 Q2 publication released on 2nd September 2011

New housing

The volume of private housing in the third quarter of 2011 rose by 0.3 per cent compared with the previous quarter but fell by 17.2 per cent compared with the same period a year earlier. These are based on constant price seasonally adjusted estimates.

Public housing orders in the third quarter of 2011 fell by 5.3 per cent compared with the previous quarter and fell by 16.5 per cent compared with the same period a year earlier.  The volume in the third quarter is the lowest since the first quarter of 2009.

New Housing

Source: Construction: Contracts & New Orders - Office for National Statistics

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New public and private infrastructure

The volume of infrastructure orders in the third quarter of 2011 rose by 27.6 per cent compared with the previous quarter which was the lowest since quarter one of 2006.  The third quarter of 2011 rose by 7.8 per cent compared with the same period a year earlier.

New public and private infrastructure

Source: Construction: Contracts & New Orders - Office for National Statistics

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New public non-housing excluding infrastructure

The volume of public non-housing excluding infrastructure orders in the third quarter of 2011 rose by 12.2 per cent compared with the previous quarter which was the lowest volume since the first quarter of 2001. The third quarter of 2011 fell by 17.0 per cent compared with the same period a year earlier.

New public non-housing excluding infrastructure

Source: Construction: Contracts & New Orders - Office for National Statistics

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New private non-housing excluding infrastructure

The volume of private commercial orders in the third quarter of 2011 rose by 21.4 per cent compared with the previous quarter and rose by 7.8 per cent compared with the same period a year earlier.

The volume in 2011 Q3 is approximately one half of that reported in 2007 Q2.

Private industrial orders in the third quarter of 2011 fell by 2.7 per cent compared with the previous quarter and fell by 3.8 per cent compared with the same period a year earlier.  The current volume is approximately one third of the volume reached during 2006.

New private non-housing excluding infrastructure

Source: Construction: Contracts & New Orders - Office for National Statistics

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Revisions

In general, revisions will follow the standard revisions policy for construction statistics shown in the table below

Source of revisions

Sources of revisions to the new orders series in Q3 2011 are as outlined in the table above and in note 1 of Background Notes.

Revisions to new orders (constant (2005) prices, seasonally adjusted)

Quarter on previous quarter growth rates

Table source: Office for National Statistics

Background notes

1. Changes to Construction Statistics

   Statistical bulletins for new orders are produced quarterly. Publication dates in 2011/2012 have been placed on the forward release calendar.

   An article describing the improvements made to New Orders and Output in the construction industry was published in ONS’s Economic and Labour Market Review in March of 2010. See ‘Development of construction statistics’ (135.4 Kb Pdf) .

   An explanation of the changes introduced in 2010 and the impact this has had on the published series (115.6 Kb Pdf) is available.

   Standard revisions to the new orders series include late responses from contributors, revisions to the price indices used to deflate the current prices to constant (2005) prices and due to seasonal adjustment.

   ONS launched a new website on 28 August 2011 which has improved the way users can access our statistics. However, many existing bookmarks and links no longer work and users will need to update them.

2. Relevance to users

   The statistical bulletin brings together information on orders for new construction in Great Britain. It draws on data compiled from the Quarterly Survey of Contracts and New Orders, with businesses selected from the Inter-Departmental Business Register (IDBR). The construction industry, which contributes to the overall estimate of Gross Domestic Product (GDP) by approximately 7.6 per cent, covers Sections 41, 42 and 43 of the Standard Industrial Classification 2007 (excluding section 41.1 (property developers)).

3. Accuracy

   Revisions to previous periods: figures for the recent periods are provisional and subject to revision, mainly in the light of revisions to deflators. Current price figures are revised back one quarter.

4. Deflation and seasonal adjustment

   The headline data are given in constant 2005 prices, seasonally adjusted. Deflators adjust the value series to take out the effect of price changes to give the volume series. Deflation of output is carried out sectorally and a range of relevant tender price and output price indices are used.

   Seasonal adjustment aids interpretation by removing annually recurring fluctuations, for example, due to climate, hours of daylight, holidays or other regular seasonal patterns. Unadjusted data are also available.

5. Further information

   Releases on construction output and employment prior to the transfer to ONS can be found on the BIS website.

6. Following ONS

   Follow ONS on Twitter and Facebook.

7. Publication policy

   Details of the policy governing the release of new data are available from the press office. Also available is a list (29.7 Kb Pdf) of those given pre-publication access to the contents of this release.

   National Statistics are produced to high professional standards set out in the Code of Practice for Official Statistics. They undergo regular quality assurance reviews to ensure that they meet customer needs. They are produced free from any political interference.

   As a valued user of our statistics, we would welcome feedback on this release. In particular, the content, format and structure. Please send feedback to the following postal or e-mail address:

   Construction, Capex and Stocks Statistics, Room 2301, Office for National Statistics, Government Buildings, Cardiff Road, Newport, Gwent, NP10 8XG

   E-mail: construction.statistics@ons.gov.uk

   You may re-use this information (not including logos) free of charge in any format or medium, under the terms of the Open Government Licence. To view this licence visit The National Archives or write to the Information Policy Team, The National Archives, Kew, LondonTW9 4DU, or email: psi@nationalarchives.gsi.gov.uk. © Crown copyright 2011.

8. Contact Details

   For further information please contact Graham Sharp

   Tel: +44 (0)1633 456344

   Email: construction.statistics@ons.gsi.gov.uk

9. Details of the policy governing the release of new data are available by visiting www.statisticsauthority.gov.uk/assessment/code-of-practice/index.html or from the Media Relations Office email: media.relations@ons.gsi.gov.uk

   These National Statistics are produced to high professional standards and released according to the arrangements approved by the UK Statistics Authority.

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