February construction output drops
The ONS has released figures for construction output in February, showing that output has dropped once again.
Continuing a period of decline, the latest three-month on three-month series shows a drop of 0.8%, while the month-on-year figures show the biggest drop since March 2013, at three percent.
The more volatile month-on-month figures also show a drop of 1.6%.
Respondents to the survey highlighted the problems created by adverse weather in early spring, with many attributing the drop in output to snowed in sites, and its hopeful the spring thaw will boost production.
Looking at the areas driving the change, we can see the contraction is being pushed by a fall in all new work, with repair and maintenance also falling in February 2018.
Compared with January 2018, construction output has a fallen by £206M in February 2018, with the main contribution coming from a decrease in the value of infrastructure new work, which decreased by £152M in February 2018, falling from its third-highest level on record in the previous month.
Martin Bennett, Director at the Vinden Partnership, commented: “The extension of winter weather into spring has caused havoc at construction sites across the country, and many will point to the weather as a factor in loss of output. However, the bigger picture, when looking at the three-on-three month and year on month, shows a worrying trend, with the figures falling continuously.
“Confidence in the sector is still high, and we should wait to see the Spring figures before we write off 2018. Volatile economics and politics continue to play their part and we must hope for a revival of fortunes later in the year.”