Construction orders and output steadily rising

Aaron Morby 11 years ago
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Government figures out today show construction recovering at a steady, strong pace.

In October, output rose by 2.2% compared with September and by 5.3% compared with a year earlier.

Also out to day, official orders figures for the third quarter were 18% up year-on-year setting the industry on course for further growth next year.

The big gains came from housing and a sharp recovery in commercial orders compared to a year ago.

Noble Francis, Economics Director at the Construction Products Association said: “Unsurprisingly, private housing has been the key driver of recent output growth.

“Demand in the housing market has been boosted by Help to Buy and, as a consequence, output in the sector rose 6.2% in October compared with September and 16.9% compared with a year earlier.

He added: “In addition, output in the largest construction sector, private commercial, rose 0.8% in October compared with September and grew 8.7% compared with a year ago, driven primarily by major projects in London.”

ONS construction figures at a glance
October output

Output graph

  • Construction output in October up 5.3% on a year ago
      • New work up 5.1%
      • RMI up 5.6%
  • Construction output grew 2.2% in October compared with September
      • New work up 2.4% (housing up 6.2%; infrastructure 7.5%; industrial down 5.8%)
      • RMI up 2.0%
  • Construction output in three months from August to October up 2.5% on preceding three months
      • New work up 2.8%
      • RMI up 2.1%

Third quarter orders

Orders graph

  • Q3/Q2 – new orders down 0.2%
  • Q3/Q3: 2012 – up 17.8% or £2bn
    • The year-on-year rise due to a £1.2bn (41.6%) increase in new housing and a £600m (21.3%) rise in new private commercial.

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