Quarterly construction output saw a decrease of 1.3% in Q4 2023 compared with Q3, solely from a decrease in new work (5.0% fall) while repair and maintenance increased by 4.0%.
The Office for National Statistics (ONS) has reported that, moreover, monthly construction output had decreased 0.5% in volume terms in December 2023. This came solely from a decrease in new work (1.1% fall), as repair and maintenance increased 0.4% on the month.
At the sector level, three out of the nine sectors saw a fall in December 2023, with the main contributors to the monthly decrease seen in infrastructure new work, and private housing repair and maintenance, which decreased 6.4% and 1.1%, respectively.
However, annual construction output did increase by 2.0% in 2023 compared with 2022 – making it the third consecutive year of annual growth.
Total construction new orders decreased 13.1% (£1,361 million) in Q4 2023 compared with Q3 2023. This quarterly fall came mainly from the private commercial and industrial sectors, which decreased 18.1% (£542 million) and 27.6% (£320 million), respectively.
The annual rate of construction output price growth was 3.1% in the 12 months to December 2023. This has slowed from the record annual price growth in May 2022 and June 2022 (10.7%).
