UK Construction Output Drops Less than Expected

UK construction output fell 1.5% year-on-year in September 2026, easing from a marginally revised 1.9% decline in the previous month and outperforming market estimates for a 2.1% drop. This marked an 11th consecutive month of contraction, although the pace was the slowest since June. New work continued to shrink for a 12th month (-6.2% vs -6.1% in August), while growth in repair and maintenance accelerated (5.0% vs 3.9%). On a monthly basis, output rose 0.8%, rebounding from a 0.5% decline in August and marking the first increase in five months. It also beat forecasts for a 0.1% decrease. Repair and maintenance continued to expand (0.6% vs 0.6%), while new work returned to growth (0.9% vs -1.4%). Over the three months to September, construction output contracted 0.7%, extending its decline for a third consecutive period. New work fell 1.6%, while repair and maintenance grew 0.5%.

UK construction output fell 1.8% year-on-year in August 2026, following a downwardly revised 1.9% decline in the prior month, marking a tenth consecutive month of contraction. The pace of decline was the slowest since April but steeper than market expectations of a 1.6% drop. New work contracted for an eleventh straight month (-5.8% vs -4.5%) in July, while growth in repair and maintenance accelerated sharply (3.6% vs 1.6%). On a monthly basis, output edged down 0.2%, easing from a 0.5% fall in July and signaling the smallest decrease in four months. Repair and maintenance continued to expand, rising 0.8%, while new work fell 0.7%, extending its losing streak to five months. Over the three months to August, construction output declined 1.0%, marking a second consecutive period of contraction. Both new work and repair and maintenance fell, by 1.4% and 0.3%, respectively, indicating broad-based weakness in the sector over the period.

UK construction output fell 2.5% year-on-year in July 2026, accelerating from a 2.3% decline in the previous month and marking the ninth consecutive month of contraction. It was also the steepest decline since December 2025, underperforming market estimates of a 2.3% fall. New work slipped for a tenth straight month (-5.1% vs -5.9% in June), while growth in repair and maintenance eased to a seven-month low (1.0% vs 2.8%). On a monthly basis, construction activity edged up 0.1%, reversing a 0.1% decline in June and signaling the first increase in four months. Repair and maintenance activity rose 0.8%, while new work fell 0.4% for a fourth consecutive month. Over the three months to July, output declined 0.5%, ending four consecutive periods of growth, as both new work and repair and maintenance fell 0.4% and 0.7%, respectively.