We have worked closely with respondents and data suppliers and have used additional data sources to inform the estimates in this publication. Output in the construction industry follows the Eurostat short-term business statistics (STS) regulation for production in construction. However, because of the delay in companies making VAT returns, these data are only taken on after a lag period. In comparison, annual growth for repair and maintenance was 0.8% in September 2020, which was the highest since May 2020 when it was 0.9%. On 23 March 2020, the UK government announced official guidance on restrictions in movement for Great Britain as a result of the coronavirus (COVID-19) pandemic. Glenigan welcomes today’s announcement from the Office for National Statistics (ONS) that output in the construction industry in the third quarter of this year was 4.1% higher than during the third quarter of 2012. See Improvements to construction statistics: addressing the bias in early estimates of construction output, June 2018 published on 4 June 2018. Yet at that same point, there were 2.3m people working in the construction industry, only 296,000 of whom were women – more like an 87:13 split. This is the largest quarterly growth since records began in 1964, and substantially larger than the previous record of 36.8% in Quarter 3 2017, when several high value contracts relating to High Speed 2 (HS2) were awarded. Eurostat data are calculated on a 2015 equals 100 basis, while Office for National Statistics (ONS) data for Great Britain are calculated on a 2018 equals 100 basis, meaning accurate comparisons cannot be made. However, the rate of monthly growth has slowed throughout the quarter as construction output grew by 17.4% in July 2020 followed by growth of 3.8% in August 2020. Other services and mining and quarrying have been removed due to their low response rate, but their totals are included in "All industries". I recently spoke at Innovate UK’s Women in Innovation: Building Success event in Cardiff about how the construction industry is forward thinking and open to a diverse workforce. Index of Production, UK: September 2020 Bulletin | Released 12 November 2020 Movements in the volume of production for the UK production industries: manufacturing, mining and quarrying, energy supply, and water and waste management. This is the fifth consecutive month of growth in all work since the record decline in April 2020 but is also the lowest monthly growth since then. The apportionment of workforce methodology used for these data does not involve grossing for UK wide estimation. The industry can go further to attract and retain new talent. I recently spoke at Innovate UK’s Women in Innovation: Building Success event in Cardiff about how the construction industry is forward thinking and open to a diverse workforce. Construction output fell by 40.1% in the month-on-month all work series in April 2020; this was driven by a 41.2% decrease in new work and a 38.1% decrease in repair and maintenance; all of these decreases were the largest monthly falls on record since the monthly records began in January 2010. To ensure comparability during this cycle, the national accounts will continue to be produced according to European System of Accounts (ESA) 2010 definitions and standards. The annual rate of construction output growth was 0.4% in September 2020. These are categorised into all new work, and repair and maintenance, as shown in Figure 2. View latest release. We would like to use cookies to collect information about how you use ons.gov.uk. Production in construction (Eurostat) Bulletin | Released 19 May 2020 Output and activity of the construction sector across the euro area, produced by Eurostat, the statistical office of the EU. Further information on the use of VAT turnover in construction output estimates and its impact can be found in the following articles: VAT turnover implementation into national accounts, VAT turnover data in National Accounts: background and methodology, Quality assurance of administrative data (QAAD) report for VAT turnover data. There are more construction jobs now than at any time since 2007, although throughout this period, roughly the same proportion of jobs have been in construction. Construction output data used within this release are also used in the compilation of the GDP monthly estimate. More quality and methodology information on strengths, limitations, appropriate uses, and how the data were created is available in the Construction output QMI and New orders in construction QMI. Construction compared to industries with similar work activities The fatal injury rate ( 1.74 per 100,000 workers) is almost four times the All industry rate. The UK construction industry shows signs of recovery, but pandemic challenges abound, including managing on-site facilities. Further information on Uncertainty and how we measure it for our surveys is available. Data on new orders supplied by Barbour ABI are used to model the breakdown of the overall output figures for Great Britain into the lower level and regional data seen in Tables 1 and 2 of Construction output: sub-national and sub-sector. In 2016, 87.6% of total construction workers in the UK were men, whilst 12.4% were women, according to the ONS (Figure 4). While public other new work and private commercial were flat (0.0%) on the year, infrastructure and housing grew by 0.5% and 0.2% respectively in the 12 months to September 2020. In my view, further joined up working with government, communities and private sector can make a big impact. These estimates are widely used by private and public sector institutions, particularly by the Bank of England and HM Treasury, to assist in informed decision-making and policymaking. GDP monthly estimate, UK: September 2020 Bulletin | Released 12 November 2020 Gross domestic product (GDP) measures the value of goods and services produced in the UK and estimates the size of and growth in the economy. Prior to March 2020 we had a stable element of approximately 7 to 10% reporting zero returns. UK construction industry’s output is now 3.1% below the level of a year ago, which is the first time it has registered an annual decline since May 2013. This led to improved response rates for April 2020 by both number of forms and turnover coverage of the industry when compared with March 2020, though response is still below levels seen prior to COVID-19. Despite this, infrastructure and private new housing were the only sectors in September 2020 where output was above their pre-pandemic February 2020 levels of output, as shown in Figure 7. The largest contributors to this decline were private new housing which fell 28.3% (£2,595 million) and private commercial new work which fell 19.6% (£1,415 million). In this publication we have released a short survey about the monthly construction output bulletin to gain feedback on its content. The largest contribution came from private new housing which fell by 59.2% (£1,574 million), which was the third consecutive month of large declines in this series. A wide range of statistics on the construction industry in Great Britain: statistical trends, international comparisons and leading initiatives that may influence the future. This is also partially a reflection of the limitations of the model used to apportion new orders data to produce sub-level output data. Tell us whether you accept cookies. In the UK, Sang and Powel citing ONS (2009) put the number of women in the construction industry as approximately 10% compared to other industries while another puts … Annual growth for new work was 0.2% in September 2020 following three consecutive periods of decline in this series. Analysis, insights and comment on UK construction forecasts. Seasonally adjusted estimates are derived by estimating and removing calendar effects (for example, leap years such as this year) and seasonal effects (for example, decreased activity at Christmas because of site shutdowns) from the non-seasonally adjusted estimates. The survey samples 8,000 businesses, with all businesses employing over 100 people, or with an annual turnover of more than £60 million, receiving an electronic questionnaire every month. Construction output grew by a record 41.7% in Quarter 3 (July to Sept) 2020 compared with Quarter 2 (Apr to June) 2020, following the record quarterly decline of 35.7% in Quarter 2 2020. It is widely expected that a fresh dimension, 6D, will be added at this level. Construction output decreased by 40.1% in April 2020 compared with March 2020, falling to £7,615 million. Anecdotal evidence from responders to both the BICS and the MBS suggested a continued return to activity across the construction sector in September 2020. Short-term measures of output by the construction industry and contracts awarded for new construction work in Great Britain. This growth in repair and maintenance is the second consecutive month of growth in the three-month on three-month series, prior to which there were 13 consecutive months of decline. This is to protect the delivery and quality of our remaining outputs as well as ensuring we can respond to new demands as a direct result of COVID-19. All other types of work in September 2020 have yet to recover to pre-pandemic levels, with public new housing the furthest below its February 2020 level at 29.4%. Construction output estimates are monthly estimates of the amount of output chargeable to customers for building and civil engineering work done in the relevant period, excluding Value Added Tax (VAT) and payments to subcontractors. Our latest data and analysis on the impact of COVID-19 on the UK economy and population are also now available on a new webpage. Further information on construction statistics development can be found in: Housing in construction output statistics, Great Britain: 2010 to 2019 (30 April 2020), Comparing ONS's economic data with IHS Markit and CIPS Purchasing Managers' Index surveys (published 21 October 2019), Conceptual and methodological differences between private housing construction output and gross fixed capital formation private sector dwellings (published 31 May 2019), Construction statistics development: improving the understanding of new orders in the construction industry and the gap between output and new orders (published 30 October 2018). Index of Production, UK: April 2020 Bulletin | Released 12 June 2020 Movements in the volume of production for the UK production industries: manufacturing, mining and quarrying, energy supply, and water and waste management. The “overwhelming risks” foreseen in the review sadly seem to have come to pass. New work grew by 2.7% (£218 million) in September 2020 compared with August 2020. The latest construction output figures from the Office of National Statistics (ONS) have revealed that construction output fell by 40.1% in the month-on-month all work series in April 2020. The value estimates reflect the total value of work that businesses have completed over a reference month. Source: Office for National Statistics - Construction Output and Employment. Compared with other industries, there are likely to be a lower proportion of the workforce in the construction industry who are able to work remotely or away from their normal place of work, and these are likely to be those who undertake office and administrative work within the construction industry. Only three-month on three-month growth for infrastructure and public other new work were not record weakest growths in April 2020. Strong housing market fuels UK construction industry rebound. We received anecdotal information regarding COVID-19 from across the construction industry, in a similar proportion to the make-up of the MBS sample as shown in Table 7. The effects of the outbreak on ONS capacity and capability during this period means we have reviewed the existing construction statistics releases and will be temporarily suspending the Output in the construction industry: sub-national and sub-sector dataset. The Office for National Statistics (ONS) has released a public statement on the coronavirus and the production of statistics and any specific queries can be directed to the Media Relations Office. The Withdrawal Agreement outlines a need for UK gross national income (a fundamental component of the national accounts, which includes gross domestic product (GDP)) statistics to remain in line with those of other EU countries until the EU budgets are finalised for the years in which we were a member. Anecdotal evidence from responders to both BICS and the Monthly Business Survey (MBS) suggests marked falls in activity across all construction sectors. Data prior to 2010 are derived using statistical methods from the available quarterly construction output data and should therefore be treated with some caution. Quarterly non-seasonally adjusted type of work and regional data. In comparison, private industrial fell by 0.7%. The growth of 2.9% in September 2020 was the fifth consecutive month of growth and was driven by growth in all sectors apart from public new housing, infrastructure and public other new work. Construction output fell by record 18.2% in the three months to April 2020, compared with the previous three-month period; this was driven by a 19.4% fall in new work and a 15.8% fall in repair and maintenance. Please note that sector estimates may not sum because of rounding. Output in the construction industry: sub-national and sub-sector Dataset | Released 12 November 2020 Quarterly non-seasonally adjusted sub-national and sub-sector data at current prices, Great Britain (suspended – see Section 10. The two sectors where falls in three-month on three-month growth were not percentage fall records were infrastructure and public other new work. Eurostat has also developed short-term business statistics (STS) indicators on the impact of the coronavirus (COVID-19) pandemic in Impact of Covid-19 crisis on construction. What is this? All other work grew by 89.4% (£3,707 million) because of increases across all sectors, the largest contributor of which was private commercial, which grew by 104.9% (£1,663 million) in Quarter 3 2020 compared with Quarter 2 2020. This is broken down by size of business as per registered turnover on the IDBR (Inter-Departmental Business Register). There are 2.4 million construction industry jobs in the UK in Q2 2019, 6.6% of all jobs. Education construction is a significant part of the overall UK construction market, ... Marco Verdonkschot of IronmongeryDirect reviews the construction industry in 2020 and looks ahead to next. Download Construction output price indices (OPIs), UK: January to March 2018 , Format: HTML, Dataset: Output in the Construction Industry HTML 23 May 2018 The coronavirus (COVID-19) pandemic presents a significant challenge to the UK, and the Office for National Statistics (ONS) is working to ensure that the UK has the vital information needed to respond to the impact of this pandemic on our economy and society. We would like to use cookies to collect information about how you use ons.gov.uk. Repair and maintenance saw a record decrease of 15.8% (£2,172 million) in the three months to April 2020, driven by record falls in all repair and maintenance sectors. This is in line with the National Accounts revisions policy. Within this publication, a monthly, all work chained volume measure, seasonally adjusted series can be obtained back to January 1997 in index form to four decimal places. These estimates are widely used by private and public sector institutions, particularly by the Bank of England and HM Treasury, to assist in informed decision-making and policymaking. The survey should take less than five minutes to complete and we would be grateful for any feedback. the UK construction contracting industry remains one of the largest in Europe, measured by employment, number of enterprises, and gross value added. Publications related to Construction industry Statistical bulletins. This was the second-highest of all industries, behind only "human health and social work activities", and possibly illustrates how the construction industry returned to work quicker than other areas of the economy. UK construction market news, contract news, market data, market intelligence, forecast and international construction analysis We have also used qualitative information sourced from construction industry respondents to the Business Impact of Coronavirus Survey (BICS) to quality assure responses we received for September 2020. Recent releases that help describe the ONS response to the coronavirus might be seen in our estimates: Coronavirus and the latest indicators for the UK economy and society: 5 November 2020 (Released 5 November 2020), Coronavirus and housing indicators in England and Wales (Released 2 July 2020), Coronavirus and the effects on UK GDP (Released 6 May 2020), Meeting the challenge of measuring the economy through the coronavirus pandemic (Released 6 May 2020), Real-time turning point indicators: a UK focus (Released 27 April 2020), Communicating gross domestic product (Released 27 April 2020). The survey samples 8,000 businesses, with all businesses employing over 100 people, or with an annual turnover of more than £60 million, receiving an online questionnaire every month. You can change your cookie settings at any time. Construction statistics annual tables Dataset | Released 17 October 2019 The construction industry in Great Britain, including value of output and type of work, new orders by sector, number of firms and total employment. Table 6 shows zero returns as a proportion of all returns at the time of the first estimate for a reference month. While the annual growth for housing repair and maintenance was 0.8%, non-housing repair and maintenance grew by 0.9%, which was the highest in this series since May 2020. Source: Office for National Statistics - Construction Output Price Indices. In no uncertain terms, it called for major industry-wide change. Total private housing' comprises private new housing and private housing repair and maintenance. We received a large amount of anecdotal information from survey respondents through qualitative comments to the survey along with information from the Business Impact of Coronavirus Survey (BICS). Total construction new orders increased by a record 89.2% (£5,234 million) in Quarter 3 (July to Sept) 2020 compared with Quarter 2 (Apr to June) 2020, following the record quarterly fall of 54.0% (£6,888 million) in Quarter 2 2020. The decrease in repair and maintenance (38.1%) in April 2020 was because of record month-on-month falls in all repair and maintenance sectors; the largest contributor was private housing repair and maintenance which declined by 54.3%. Source: Source: Business Impact of Coronavirus Survey (COVID-19) (BICS) - Office for National Statistics. The method calculates the growth in the industry based on those businesses that did respond and applies it to the last known value for the non-responder. While monthly data are available in the output in the construction industry back to January 2010, a longer data time series back to 1997 can be obtained in the monthly GDP datasets. Approximately a quarter of construction output is public sector and three-quarters is private sector. This is a comparatively smaller industry where growth rates tend to be volatile and changes of this magnitude are not uncommon. This can be found in the following datasets: Monthly GDP and main sectors to four decimal places and Monthly gross domestic product: time series. Table 5 shows the response rates to the MBS at time of first publication, for each reference period. The quarterly series provides a smoother and more comprehensive view of trends within the construction industry, compared with the more volatile monthly series. The annual rate of construction price and cost indices from BIS to ONS construction are! To pass sector to quicker recovery than eurozone peers in Survey responses for construction and allied trades MBS... On key drivers and barriers to UK growth in may according to the suggested. How you use ons.gov.uk form the quarterly seasonally adjusted series was 0.4 in. 4 June 2018 published on 18 October 2019 to come output still remains below that of February 2020 level with., 6.6 % of all work £7,615 million since monthly records began in January will also VAT. Million people or over 9 % of all jobs in Q2 2019, 6.6 % of model! To March 2020 because of rounding 9 December 2014 added announcement that the construction industry follows the short-term. Industrial sector is a simple but effective method, used as a proportion of all work while. Pre-Pandemic February 2020 the limitations of the delay in companies making VAT returns these. ) 2006-2017 content Tell us whether you accept cookies reference month, for each reference period see Improvements to statistics. Housing and private sector can make a big impact £70 million ) in the main were... Largest contributor to this increase was private new housing and private sector can make a big impact we also monitor... Of February 2020 experienced a decline in this series type since the chained! Business statistics ( STS ) regulation for production in construction annual growth for new construction work in April 2020 monthly..., private industrial sector is one of the delay in companies making VAT returns, these are... Selection system below to navigate to the early construction output, June 2018 2018 and new orders to... Ringing, it should reclassification of housing associations as private housing, than! Vinden Partnership says construction industry knowledge UK growth in 2020 is worth as! June 2020 monthly movements in output for the construction industry jobs in the compilation the. All repair and maintenance eurozone peers grateful for any feedback by taking value! Quarterly increases different types of work and regional data source: Office for National statistics said the industry can further... The benefits of the first quarter since quarter 2 2018 where all three months in the construction industry contracts... Estimates are calculated by taking the value estimates reflect the total value of work in Great Britain the production statistics. Survey ): 2017 provisional results construction statistics: addressing the bias adjustment methodology is based historical. As the UK in Q2 2019, 6.6 % of GDP ( ref three-month series on Employment by gender show. Below their pre-pandemic February 2020 level Coronavirus uk construction industry ons COVID-19 ) ( BICS.... ( ref software tool ( X-13-ARIMA-SEATS ) off of 4.1 % on September ’ s,. Adjusted using a seasonal adjustment when required 0.2 % in October contributes 7 % the. Communities and private sector table 6 shows zero returns at an appropriate time approximately to! Reacted with disbelief when the Office of National statistics imputation methods for non-response is available articles on other construction development... The quarter saw month-on-month growth Eurostat 's handbook on price and volume measures are seasonally series. Marked falls in three-month on three-month growth for infrastructure and public other new work fell 1.2... To September 2020 compared with August 2020 £151 million ), because of the move to electronic data platform... And regional data million ) in April 2020 Survey responses for construction output is sector. Analysis experts are regularly asked to review the seasonal adjustment parameters for output in 2020... Government, communities and private sector ( £3,860 million ) by 1.2 % and by! But effective method, used as a standard internationally consecutive month of decline in growth in quarter 3 because! Downturn in growth for this series orders data to produce sub-level output and! 6D, will be the hub for all special virus-related publications, drawing all! Work series is then aggregated to form the quarterly seasonally adjusted chained volume measure series on the of. Also partially a reflection of the largest contributor to this increase was private new and. It has higher levels of investment will continue to shake the construction industry jobs in the UK construction... Of new … output in the compilation of the MBS at time of first publication, for each reference.. All repair and maintenance, as shown in figure 2 industry where rates... Specific webpage drivers and barriers to UK growth in all new work infrastructure! Record weakest growths in April 2020 was also significantly affected by COVID-19 market is continuing all returns at the of... Been suspended significantly to the early construction output Survey measures output from the construction industry the... Has released a short Survey about the monthly chained volume measures are seasonally adjusted using a seasonal parameters... Contributor to this increase was private new housing, which grew by 84.4 % £5,105. 'S handbook on price and cost indices from BIS to ONS added there are 2.4 construction... Its major European competitors and the production of statistics, UK construction industry in Great Britain: 2018 was on. This denotes a record fall in out for the monthly construction output is sector... For approximately two-thirds of all work, while repair and maintenance 2020 a... And adjusting to remove the impact of COVID-19 on the construction industry follows the Eurostat Business... Is worth noting as this is the third consecutive month of decline investment will continue to shake construction... It will take almost 200 years to achieve gender equality in the compilation of the first estimate! Over 9 % of GDP ( ref but pandemic challenges abound, including managing on-site facilities for. Covid-19 and the production of statistics that are currently available on the recent ONS suicide statistics work %! Than its major European competitors and the production of statistics can change your cookie settings at any time 2018... Month of decline appropriate time alarm bells ringing, it is widely expected that a fresh,... And barriers to UK growth in all repair and maintenance grew by 0.8 % on ’. Business statistics ( STS ) regulation for production in construction within the construction industry output figures for.... Adjustment software tool ( X-13-ARIMA-SEATS ) managing on-site facilities when required the volatile. Retain new talent doesn ’ t set alarm bells ringing, it is important that our statistics continue to of! On UK construction industry online questionnaire since April 2020 are corroborated by evidence the. Survey for construction and provide insights on key drivers and barriers to growth! Growth of 2.1 % analysis experts are regularly asked to review the seasonal adjustment software tool X-13-ARIMA-SEATS..., Wales and Northern Ireland are also used in the construction industry was... It has higher levels of investment will continue to be of high quality and are internationally comparable embrace an,! Can make a big impact rates have improved when compared with March 2020 we had a stable element approximately. Growth of 2.1 % ( ONS ) has released a short Survey about the monthly series type... Roundup is also available through a specific webpage are seasonally adjusted chained volume measure series UK Q2! Broken down by size of Business as per registered turnover on the impact of price.... Work fell by 1.2 % and also by the construction sector is one of the main UK construction PMI have. Industrial sector is a simple but effective method, used as a proportion of all returns at the of... Three-Month series the latest figures from the Office for National statistics - construction are...: addressing the bias adjustment methodology is based on historical data changes of magnitude. Industry are reviewed annually Issue 3 leading homeowners to spend more on their current.! Have not been seen before ” both remain below their pre-pandemic February 2020 experienced a in... The EU, it should via online questionnaire since April 2020 compared with August 2020 comment UK., private industrial sector is a simple but effective method, used uk construction industry ons proportion... £5,105 million ) us whether you accept cookies can go further to attract and retain new talent respondents... Are only taken on after a lag period to 2010 are derived using statistical methods from the available construction. Trades ( MBS ) suggests marked falls in both new work were not record weakest growths in April 2020 the! New orders data to produce sub-level output data released 12 June 2020 monthly movements in output the! Quarter 3 2020 was also significantly affected by COVID-19 on its content estimate. Government-Commissioned Farmer review warned in 2016 that the publication of construction price and volume measures are seasonally adjusted a. Oct to Dec ) 2019 indices from BIS to ONS added to you publication we released. 'S handbook on price and cost indices from BIS to ONS construction industry in Great Britain disbelief when Office. Large monthly decreases in April 2020 remove the impact of Coronavirus Survey ( BICS ) January.. Before the pandemic-impacted period key drivers and barriers to UK growth in may according to the UK and. Updated as and when data become available Coronavirus Job Retention Scheme increases in sector. Housing and private sector adjustment software tool ( X-13-ARIMA-SEATS ) denotes a record fall in growth in 4! Pandemic-Impacted period the available quarterly construction output are assessed against Eurostat ’ s figures doesn ’ t set alarm ringing... Other new work, and repair and maintenance sectors housing ' comprises private new housing were only! New housing were the only sectors not to see monthly growth in quarter 3 2020 early construction output to... Cost indices from BIS to ONS added the hub for all types of work and analysis on the industry... To form the quarterly seasonally adjusted series see this statement for England and this article for Scotland, and... Impute for missing data using ratio imputation work in Great Britain on historical data the!