Construction’s 0.4% decline in July follows increases of 0.5% in June 2024 and 1.7% in May.
The decrease in monthly output in July came from falls in both new work (0.2%) and repair and maintenance (0.7%), the ONS said.
The ONS also reports that the economy as a whole stagnated in what was the month of the general election, with zero growth in gross domestic product for the second month running. Growth in the services sector was not enough to offset the fall in construction and manufacturing.
Construction output fell in five out of the nine sectors in July 2024, with the main contributors to the monthly decrease coming from private commercial new work and private housing repair and maintenance, which fell by 2.4% and 1.7%, respectively.
Over the three months to July, construction output is estimated to have grown by 1.2%, with increases in both new work (1.6%), and repair & maintenance (0.8%).
Clive Docwra, managing director of property and construction consultancy McBains, commented: “After May and June’s figures showed an increase in output, the construction industry was expecting better news for July.
“Despite a modest overall decrease in growth, the industry will flag a dip in growth in five of the nine work sectors as a concern, particularly the 2.4% drop in private commercial new orders.
“Although the figures may not show a post-election bounce, the optimism created by the new government’s announcements on housebuilding means the industry is feeling optimistic for the medium term, borne out by today’s figures showing output grew 1.2% in the three months to July.
“Some early signs of intent from the government on how issues such as confirmation of how nationals planning frameworks can be streamlined, and measures to boost growth in the budget, will further bolster confidence.”
