UK construction output falls in April

office_for_national_statisticsConstruction output in the UK declined in April after rebounding in the prior month, the Office for National Statistics (ONS) said today.

Construction output fell 0.8 per cent from March when it grew 1.4 per cent. Output has so far dropped for three months this year. It was expected to rise 0.1 per cent.

Repair and maintenance dropped 4.8 per cent, while all new work increased 1.6 per cent.

On a yearly basis, output in the construction industry grew 1.5 per cent in April, faster than a 0.5 per cent rise forecast by economists. This was the 23rd consecutive annual growth but the weakest expansion since November 2013.



In the first quarter, new orders for the construction industry gained 0.4 per cent from the fourth quarter and by 8 per cent from the same period of last year.

After revising its methodology for measuring construction, the ONS said output fell 0.2 per cent in the first quarter, rather than 1.1 per cent as previously thought.

This revision could have a theoretical impact on the UK’s overall rate of economic growth, the ONS said.

It means the economy could have grown by 0.4 per cent in the first quarter rather than 0.3 per cent as previously forecast, and by 3.1 per cent in 2014 rather than 2.8 per cent.



The ONS said the upward revision incorporated late data and new seasonal adjustment parameters among other technical calculations.


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