Construction output grew for third consecutive month in April

By
BE News Team

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Monthly construction output in the UK is estimated to have grown by 0.9% in April 2025, the third consecutive period of positive growth, according to the latest data from the Office for National Statistics.

The rise in output came from increases in both new work and repair and maintenance, which grew by 1.4% and 0.3%, respectively.

Six out of the nine sectors reported growth in April 2025 with the biggest monthly increases recorded in the infrastructure new work and private housing repair and maintenance sectors, which rose by 2% and 1.5%, respectively.

Total construction output is estimated to have grown by 0.5% in the three months to April 2025.

Clive Docwra, managing director of McBains, said: “Today’s figures are better than many expected, especially given they buck the overall economic picture, and will give hope that the construction sector’s recovery may be starting to generate some impetus. New work orders increasing by 1.4%, and infrastructure output specifically growing by 2%, are particularly encouraging.

“The industry will still be cautious given the global economic picture – not least uncertainty over what may happen next with president Trump’s tariffs – having a knock-on effect on investment decisions. However, yesterday’s Spending Review’s announcement of new money for social and affordable housing and infrastructure projects will give a welcome confidence boost to a number of work sectors. The sector will also be hoping for an interest rate cut next week which would help trigger more investment at a time when continued momentum is still needed.”

Terry Woodley, MD of development finance at Shawbrook, added: “In line with the warmer weather and increases in new work and repair and maintenance, construction output figures grew in April. Developers have likely been encouraged by the recently announced Affordable Homes Plan, as well as the government’s review of the biodiversity net gain requirements for smaller housebuilders, as this will help further streamline the planning process and boost housebuilding activity for SME housebuilders.

“This complements the wider efforts the government has made to address industry-wide issues such as the skills shortage, which will no doubt give developers across the board a confidence boost as we head into the second half of the year.”

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