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Release: Output in the Construction Industry, April 2013

Released: 14 June 2013 Next edition: 12 July 2013

Contact

Stuart Deneen, Office for National Statistics

Business Indicators and Balance of Payments

construction.statistics@ons.gsi.gov.uk

Telephone: +44 (0) 1633 456344

Categories: Business and Energy, Production Industries, Building and Construction, Output in the Construction Industry, Economy, National Accounts, National Income, Expenditure and Output

Frequency of release: Monthly

Language: English

Geographical coverage: GB

Geographical breakdown: Region

Survey name(s): Construction: Output & Employment

  • Construction output estimates are a short term indicator of construction output by private sector and public corporations within the UK. The estimates are produced and published at current prices (including inflationary price effects) and at constant prices (with inflationary effects removed) both quarterly seasonally adjusted and monthly non-seasonally adjusted. Constant prices are also referred to as volume terms. Construction output is used in the compilation of the production approach to measuring gross domestic product (GDP).

  • At 2005 prices, the estimated non-seasonally adjusted total volume of construction output in April 2013 was 1.1% lower than in April 2012 (Figure 1).

  • Comparing the three months from February 2013 with April 2013 with the same three months a year earlier, the volume of construction output decreased by 4.7%. New work was lower by 5.8% with large falls in public other new work and private-commercial other new work, which reported decreases of 17.3% and 8.8% respectively. Other new work excludes the housing and infrastructure sectors but includes construction on factories, warehouses, schools and offices etc.   There was also a 2.8% decrease in repair and maintenance mainly due to a 7.5% fall in private housing repair and maintenance.

  • Comparing April 2013 with March 2013, the non-seasonally adjusted total volume of construction output decreased by 6.5% (Figure 1). There were decreases in all sectors with the exception of private housing new work and repair & maintenance which showed increases of 3.6% and 0.4% respectively. Overall repair & maintenance decreased by 9.7%, mainly due to large falls in infrastructure and public housing repair & maintenance, which fell 21.6% and 18.5% respectively.

  • Following a detailed analysis of the three years of monthly construction data, ONS has concluded that it is possible to produce monthly seasonally adjusted statistics for Output in the Construction Industry.  These statistics will be introduced in the Quarterly National Accounts on the 27 June 2013 and will be published in all construction releases following this date.

  • These estimates for the construction industry are the second of the main components for the output approach to measuring GDP to be published for April 2013, the first month of quarter two 2013 (Table 1). Estimates for production were published on 11 June while the third main component of GDP, services, will be published on 27 June alongside the quarterly GDP release for Q2 2013.

  • Further information on the changes in growth and the levels of the components of construction are contained in tables 2 and 3 of the ‘Additional Information’ section of this bulletin.

  • The ‘Definitions and explanations’ section in the background notes of this bulletin includes additional information on items contained in this release.

Construction output is a monthly series of the output of the construction industry in both the private and public sectors. In the months before the quarter month, current and constant price not seasonally adjusted data by sector are published. On the quarter months, additional constant price seasonally adjusted index data and value data by sector are published. On the months after the quarter, additional current price data by type of work and region are published.

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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