ONS: October records highest level of construction output since records began

ONS: October records highest level of construction output  since records began

Monthly construction output is estimated to have increased by 0.8% in volume terms in October to record the fourth consecutive monthly growth, according to new data published by the Office for National Statistics (ONS) this morning.

The results in October 2022 are the highest level of construction output (£15,248 million) since records began in January 2010.

The increase in monthly construction output in October 2022 came from increases in both new work (0.5%) and repair and maintenance (1.3%) on the month.

At the sector level, five out of the nine sectors saw a rise in October 2022, with the main contributors to the monthly increase seen in private new housing, and non-housing repair and maintenance, which increased 2.9% and 1.7%, respectively.

The level of construction output in October 2022 was 4.8% (£698m) above the February 2020 pre-coronavirus pandemic level; new work was 0.2% (£21m) above its February 2020 level, while repair and maintenance work was 13.5% (£677m) above the February 2020 level.

Alongside the monthly increase, construction output saw an increase of 1.1% in the three months to October 2022; this is the twelfth consecutive period of growth in the three-month-on-three-month series, and the increase came solely from growth in new work (3.1%) as repair and maintenance saw a decrease (2.1% fall).

Mark Robinson, group chief executive at SCAPE, responded: “Growth in the construction sector is encouraging to see, especially in today’s economic climate. However, with the UK now in recession, the industry will be conscious of the long-term challenges of inflation, labour and materials supply throughout the winter.

“Investment in public sector infrastructure has always been a key driver of output in times of downturn. That said, contractors will be mindful of the impact of real-term spending cuts. Many local authorities will still be confirming their budgets for the next year, with the most proactive already openly engaging with delivery teams to ensure important regeneration projects are scoped effectively.”

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