Private housing was the highest contributor to a decrease in construction output in November 2023



Construction output saw a decrease of 0.6% in the three months to November 2023 which came solely from a decrease in new work, according to the Office for National Statistics (ONS).


There was a 3.6% fall in new work in this time period, while repair and maintenance increased by 3.8%.

Monthly construction output is estimated to have decreased 0.2% in volume terms in November 2023; this follows an upwardly revised decrease of 0.4% in October 2023, with the monthly value in level terms in November 2023 at £15,571m.

The decrease in monthly output also came solely from a decrease in new work (2.0% fall), as repair and maintenance increased by (2.1%). 

At the sector level, three out of the nine sectors saw a fall in November 2023, with the main contributors to the monthly decrease seen in private new housing and infrastructure new work, which decreased 3.9% and 2.0%, respectively.

Anecdotal evidence suggested effects of adverse weather, including heavy rainfall and strong winds in November 2023 led to delays in planned work.

Michael Wynne, co-founder of Q New Homes, commented: “Housebuilders faced a perfect storm of weak demand and surging input costs during much of 2023, and in November private sector housebuilding contracted by a further 3.9%, more than any other construction subsector.
 
“But despite the cold conditions on building sites this week, there’s a growing sense that the industry’s dark clouds are finally, slowly, starting to part.
  
“With many buyers focusing not just on upfront cost but also the ongoing cost of ownership, energy-efficient homes are likely to be in high demand, as will designs that use modern, sustainable methods of construction to reduce carbon while maximising quality and comfort.”



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