Stuart Deneen, Office for National Statistics
Business Indicators and Balance of Payments
Telephone: +44 (0) 1633 456344
Frequency of release: Monthly
Geographical coverage: GB
Geographical breakdown: Region
Survey name(s): Construction: Output & Employment
In recent periods construction output has been volatile, rising by 1.9% in Q2 2013 after a decline of 1.3% in Q1 2013 and the picture has been similarly volatile in the first two months of Q3 2013 with July showing growth of 2.8% while August shows a decrease of 0.1%.
ONS estimates that in August 2013 the seasonally adjusted volume of monthly construction output decreased by 0.1% when compared with July 2013 (see figure 1). This slight decrease was apparent in both new work and repair & maintenance, which fell 0.1% and 0.2% respectively.
Looking in more detail at this monthly picture, there were mixed performances across the different types of work. Notably private industrial and private housing both saw new work increase by 3.9% and 1.6% respectively, while public other new work and private housing repair and maintenance fell by 3.2% and 1.8% respectively.
When comparing August 2013 with August 2012 construction output increased by 4.0% (see figure 1) predominantly due to a 5.5% increase in new work. Within the new work category, new housing increased by 16.7% while infrastructure fell by 5.5% when compared with August 2012. In August 2013, these sectors account for approximately 32% and 19% of all new work respectively.
Construction output shows year on year growth for three consecutive months for the first time since May 2011 with the main contribution to this growth coming from the new housing work. The article 'Growth in new housing construction gains momentum' provides more detail.
Comparing the three months, June to August, with the same three months 12 months ago, the output of construction increased by 3.0%. Over the same period new housing showed growth of 14.7%, the largest three month on a year growth since January to March 2011. Construction output grew by 2.4% when compared with the previous three months (March to May 2013).
These National Statistics are produced to high professional standards and released according to the arrangements approved by the UK Statistics Authority.