ONS figures show slight construction slowdown

Construction output fell slightly in November according to the latest Office for National Statistics (ONS) figures published today.

Underlying construction trend is flat says ONS
Underlying construction trend is flat says ONS

The drop of 0.2% compared to October 2016 was largely due to a contraction in non-housing repair and maintenance, the ONS said, and followed a month-on-month fall of 0.6% in October 2016.

However new work in November 2016 increased, with new housing output continuing to grow.

Construction output is a monthly business survey which collects output by sector from businesses in the construction industry within Great Britain. Output is defined as the amount chargeable to customers for building and civil engineering work done in the relevant period excluding VAT and payments to sub-contractors.

The survey’s results are used to produce seasonally adjusted monthly, quarterly and annual estimates of output in the construction industry.

The underlying three month on three month rolling trend shows that construction output contracted by 0.1% following a similar pattern for recent months showing that construction output is relatively flat.

Public housing, private housing, infrastructure and other public construction works all grew in November 2016.

According to the latest Markit/CIPS UK ConstructionPurchasing Managers' Index, however UK construction companies recorded the fastest rise in new order volumes for 11 months in December 2016.



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