Second Month of Growth for Construction Output

MONTHLY construction output rose by 0.5% in June 2024, according to the latest Office for National Statistics (ONS) data.

Seven out of the nine sectors grew in June. Non-housing repair and maintenance, and private commercial new work were the largest positive contributors to the monthly increase. They increased by 3.2% (£107 million) and 2.1% (£40 million), respectively.

Quarterly Activity

In Q2 2024, construction output fell by 0.1% (£68 million), caused by a decrease in new work (0.5% fall), as repair and maintenance increased by 0.4%.

The fall in Q2 2024 came solely from a 1.0% decrease in April 2024 as output was affected by heavy rainfall and strong winds.

Of the nine sectors, five fell in Q2 2024, with the largest contributors being private housing repair and maintenance, and public new housing. These sectors fell by 2.6% (£216 million) and 8.2% (£112 million), respectively.

The largest positive contributor was non-housing repair and maintenance, which grew by 3.0% (£300 million).

New Orders

In Q2 2024, total construction new orders grew by 16.5% (£1,771 million), compared with Q1 2024. This follows an increase of 17.7% in Q1 2024, compared with Q4 2023. Q2 2024 had the highest level of total construction new orders (£12,514 million) since Q4 2022 (£13,032 million).

Other new work (non-housing) new orders was the largest contributor to the increase in Q2 2024, growing by 15.9% (£1,269 million). This mainly came from private commercial new orders, which grew by 15.1% (£503 million) and was affected by rises in offices, garages and shops. The other main contributor to the growth in other new work was infrastructure new orders, which increased by 23.4% (£389 million).

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