According to Glenigan data, residential projects under £100m in size were 24% higher in the three months to April than in the preceding quarter.

Private housing construction activity rose 22% on a quarterly basis and 29% when compared to the year before.

Social housing construction activity grew by 29% from the previous quarter, but was only 3% higher than the same point in 2024.

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According to Glenigan, these results suggest that stabilising interest rates and improving buyer confidence are supporting a recovery in the housing market for smaller-scale developments.

Overall, underlying construction starts under £100m was up 7% in the three months to April and 3% higher year on year.

Housing construction led these overall figures, offsetting declines in other sectors.

Over the same period, non-residential construction activity fell by 5% on a quarterly basis to be 12% lower than 2024’s levels.

Civil engineering work also struggled, with a 22% fall in activity recorded on both quarterly and annual comparisons.