View more on these topics

Construction output figures present mixed picture

Construction output rose 0.4 per cent in the three months to April 2019, according to data collected by the Office for National Statistics.

However, when looked at between March and April, output dropped by 0.4 per cent due to a 2.1 per cent fall in repair and maintenance, and offset by a 0.6 per cent rise in new work.

The figures also reveal that new work rose 0.1 per cent between February and April, with work on infrastructure rising by 3.6 per cent, and on new public housing by 4.7 per cent.

Meanwhile, private commercial new work fell by 2.2 per cent, and public other new work dropped by 2.3 per cent.

Looking at Q1 2019, new orders grew by 9.6 per cent. This was due to a 16.1 per cent rise in other new work and a 4.6 per cent fall in housing new work.

Spicerhaart Part Exchange & Assisted Move business development director Neil Knight says: “The construction output figures from the ONS today show that after slowing down at the end of 2018 construction output growth has now picked up again.

“We all know that with Brexit uncertainty, the housing market in general slowed right down, but I did say back in February that I thought there was more work in the pipeline and that this would start to show on the figures throughout 2019, and I think this is what we are seeing here.

“While most of the increase is as a result of public sector construction, private construction is up too, which is a really positive sign.

“In terms of evidence on the ground, we are seeing a lot of demand for part-exchange at the moment.”

Naismiths managing director Blane Perrotton adds: “Such washout figures were, sadly, more predictable than the mid-June deluge that greeted them.

“Despite growth in infrastructure and public new housing, declines in private commercial and public other new work meant that new work as a whole barely grew at all.

“It is important that the uptick in new orders seen in Q1 is not interpreted as indicative of a healthy UK construction sector. It is actually more likely the result of developers trying to get projects over the line before Britain was due to leave the EU on March 29.

“Until Britain’s post-Brexit future is cemented, inactivity is likely to continue dominating headlines and soundbites. Realistically, it will not be until Hallowe’en at the very earliest that the industry stops sitting on its hands.”

Recommended

Home-House-Flat-Residential-Property-700x450.jpg

Housing affordability static in 2018: ONS

Housing affordability in England and Wales last year remained static, following five years of declining affordability, according to the office for national statistics. Data collected by ONS shows that between 2017 and 2018, the affordability ratio increased by 0.8 per cent. The price paid for properties rose by 3.3 per cent between 2017 and 2018, […]

Private rental prices rise: ONS

Private rental prices in the UK rose 1.1 per cent in the year to February, according to the office for national statistics. On a monthly basis, rents increased by 1 per cent. In England and Wales specifically, prices grew 1.1 per cent over the 12 months to February, and in Scotland, by 0.7 per cent. […]

Five things you should know about… setting up a limited company for a property portfolio

Setting up a limited company for a property portfolio By Adrian Moloney, sales director at OneSavings Bank Limited companies pay corporation, not income, tax Corporation tax will drop to 17 per cent in 2020, while private landlords face income tax of up to 40 per cent for higher-rate taxpayers. Limited companies pay tax on profits, […]

Insurance - thumbnail

The lucky ones

By Denise Wond, Marketing Relationship Manager, Royal London Do you consider yourself lucky? I don’t; I never seem to win a prize in the raffle, if there’s a cancelled train it’s usually the one I’m meant to be on and don’t start me on last year’s holiday. On the other hand, when I think about […]

Newsletter

News and expert analysis straight to your inbox

Sign up