Construction output down on previous quarter but shows year-on-year improvement

office_for_national_statisticsOutput in the UK construction industry was estimated to have decreased by 0.4 per cent during the last quarter of 2015, when compared with the third quarter.

Latest estimates from the Office for National Statistics (ONS) revealed that while new work was up by 0.2 per cent, repair and maintenance (R&M) output decreased by 1.4 per cent in Q4 2015.

There was also a 3.9 per cent fall in new infrastructure work.

On a positive note, year-on-year construction output in Q4 2015 was up 0.4 per cent on Q4 2014.



In December 2015 output in the construction industry is estimated to have increased by 1.5 per cent compared with November 2015 due to an increase of 2.6 per cent in all new work. This was offset by repair and maintenance, which decreased by 0.5 per cent.

For the full year, output in the construction industry in 2015 was estimated to have increased by 3.4 per cent over 2014. All new work increased by 6.8 per cent while repair and maintenance decreased by 2.2 per cent.

Allan Callaghan, managing director of Cruden Building & Renewals, said he was encouraged by the industry growth.

He said: “The latest positive figures announced today are welcome news for the Scottish construction industry and fall within a period where a number of new developments are coming to fruition to meet ongoing demand.



“The announcement of the Help to Buy successor, launched last month at our King’s View site, should further help to stimulate the market. We know how much the previous scheme helped many first-time buyers take their first step on to the property ladder and I am confident that its successor will act as a catalyst to support a new generation of Scottish homeowners.

“In the west of Scotland, we are continuing to see a demand for sales plots. Our aforementioned King’s View development which is being constructed in one of Glasgow’s eight Transformational Regeneration Areas, as well as the upcoming launch of our new development at Helenvale in Glasgow’s new east end, will both help to support the ongoing and ever changing demands of Glasgow’s housing needs.

“2016 should be viewed as the year of opportunity, where real sector growth can take place; growth which is driven by housebuilding. We must all take the opportunities that present themselves, helping to support ongoing growth for the Scottish construction sector and as a result, the wider Scottish economy.”


Share icon
Share this article: