The two sectors where falls in three-month on three-month growth were not percentage fall records were infrastructure and public other new work. This is a simple but effective method, used as a standard internationally. The bias adjustment methodology is based on historical data. 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%. Please note that sector estimates may no sum because of rounding. Source: Office for National Statistics and Barbour ABI. The same CIS rules apply if your business is based outside the UK, but you do construction work as a contractor or subcontractor in the UK. 10 Jul 17. Construction output grew by 2.9% (£369 million) in September 2020 compared with August 2020 because of increases in most sectors, as shown in Figure 6. 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). These figures represent the proportion of responses to each question from businesses, apportioned using the employment recorded for each Reporting Unit on the Inter Departmental Business Register (IDBR). This was because of increases in every sector, as shown in Figure 4, all of which were record quarterly increases. This is a simple but effective method, used as a standard internationally. 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. ONS data shows increased output and narrowing of trade gap in December as economy defies Brexit ... UK manufacturing and construction ended 2016 on a strong note ... UK industry … It gives a broad perspective of statistical trends in the construction industry in Great Britain through the last decade together with some international comparisons and features on leading initiatives that may influence the future. Eurostat data are calculated on a 2015 equals 100 basis, while Office for National Statistics (ONS) data for Great Britain are calculated on a 2016 equals 100 basis, meaning accurate comparisons cannot be made. In this release there are revisions to construction output for July and August 2020, first published within the Construction output in Great Britain: August 2020 release published on 9 October 2020. During the transition period, those UK statistics that align with EU practice and rules will continue to do so in the same way as before 31 January 2020. Of those who were still trading and responded to BICS Wave 4, construction industry respondents were the second most likely to apply to this initiative (89.4%), behind only the accommodation and food service activities industry (95.0%). Construction industry respondents to BICS Wave 3, which relates to the period 6 April to 19 April 2020, were considerably more likely to respond that turnover decreased by more than 50%, and considerably less likely to respond that financial performance was unaffected, than all industries as a whole. 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 number of new … Table 4 shows the percentage of firms applying to the Coronavirus Job Retention Scheme. For September 2020, because of the gross domestic product timetable, the data collection period for the MBS was shorter compared with that of July and August 2020, by around one week, and as a result response rates at first estimate are lower. Source: Office for National Statistics – Construction Output and Employment. Data from BICS Wave 4, which relate to the period 20 April to 3 May 2020, are partially comparable with construction output data for April 2020. Generally understood to mean a complete focus on managing a … At the current rate it will take almost 200 years to achieve gender equality in the construction industry. The level of construction output in September 2020 was 7.3% below that in February 2020, with only infrastructure and private new housing having returned to above their pre-pandemic levels of output; all other types of work in September 2020 have yet to recover, with public new housing the furthest below its February 2020 level at 29.4%. The latest three-month on three-month performance saw the biggest dip since September … Alongside the Monthly Business Survey (MBS), further information on output is gained from VAT turnover data, which are used to replace survey data for small- and medium-sized businesses. Table 7 shows the response rates to the MBS at time of publishing, for each reference period. Revisions in the release to new orders are as a result of: revisions to seasonal adjustment factors, which are re-estimated every quarter and reviewed annually, revisions to the input series for the Construction Output Price Indices; most notably this is the first new orders release where the improvement in the methodology of business prices to implement chain-linking, which affects both the Producer Price Indices (PPI) and Service Producer Price Indices (SPPI) has been implemented, the reference year for new orders has been moved onto 2018 equals 100; this is to make the new orders reference year consistent with the construction output reference year, which changes at the previous monthly publication, new orders data are also open for revision in the current price, non-seasonally adjusted data (Tables 4 to 6) for the previous quarter; there are no revisions to the current price Quarter 2 2020 data in this release. Quarterly construction output grew by a record 41.7% in Quarter 3 (July to Sept) 2020 compared with Quarter 2 (Apr to June) 2020; this was driven by record quarterly growth in both new work (40.8%) and repair and maintenance (43.4%). 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). We would like to use cookies to collect information about how you use ons.gov.uk. Output in the construction industry follows the Eurostat short-term business statistics (STS) regulation for production in construction. This is an increase from 0.2% and 0.0% respectively seen in August 2020. You can change your cookie settings at any time. All content is available under the Open Government Licence v3.0, except where otherwise stated, /businessindustryandtrade/constructionindustry/bulletins/constructionoutputingreatbritain/september2020newordersandconstructionoutputpriceindicesjulytoseptember2020, Figure 1: Both the monthly and quarterly indices for the most recent period show that output remains below the pre-pandemic level, Figure 2: The growth in Quarter 3 (July to Sept) 2020 is the largest quarterly growth in construction output since quarterly records began in 1997, Seasonally adjusted, chained volume measure, percentage change and £millions difference, Table 1: Construction output main figures, September 2020 compared with February 2020, Great Britain, Seasonally adjusted, chained volume measure, £ million and percentage change, Table 2: Construction output main figures, September 2020, Great Britain, Figure 3: Repair and maintenance output in September 2020 was the highest level since March 2020, though both new work and repair and maintenance remain below their February 2020 level, Figure 4: Record growth across all sectors drove the increase in all work output in Quarter 3 (July to Sept) 2020, Figure 5: Total private housing drove much of the record quarterly increase in all work in Quarter 3 (July to Sept) 2020, Figure 6: Private new housing was the largest contributor to monthly growth in output in September 2020, Figure 7: Infrastructure and private housing are the only sectors where output has recovered above the February 2020 level, Figure 8: The level of output in every repair and maintenance sector remains just below the February 2020 level, Top five industries, proportion of workforce at their normal place of work for businesses currently trading, apportioned by workforce size, UK, Table 3: BICS Wave 14 data, which relates to the period 7 to 20 September 2020, shows that construction industry respondents had the second-greatest proportion of their workforce at their normal place of work, Figure 9: Despite record quarter-on-quarter growth in Quarter 3 (July to Sept) 2020, new orders remain broadly flat in the quarter-on-year series, Figure 10: Total new orders saw a sharp recovery in Quarter 3 (July to Sept) 2020 following the record decline in Quarter 2 (Apr to June) 2020, Seasonally adjusted volume, £ million and percentage change, Great Britain, Table 4: Construction new orders main figures, Quarter 3 (July to September) 2020, Figure 11: Construction prices have seen minimal increases since the start of 2020, Table 5: Construction output price, index values and growth rates, UK, September 2019 to September 2020, Chained volume measure, seasonally adjusted, Great Britain, July 2020 and August 2020, Table 6: Monthly growth in July and August 2020 are revised up from the previous publication, Percentage, January 2020 to September 2020, Table 7: Due to a shorter data collection period, response rate at first estimate is lower for September 2020 compared with August 2020, though have improved on June 2020, Figure 12: Data content has improved throughout 2020 at time of publication for the first quarterly construction output estimate but is still down on 2018 and 2019 response level, Figure 13: The proportion of survey returns that provided a zero return for all types of work fell in September 2020 to the lowest level since February 2020, Quarter-on-quarter construction growth in Quarter 3 2020, Month-on-month construction output growth in September 2020, New orders in the construction industry in Quarter 3 2020, Construction output price indices in September 2020, Monthly Business Survey (MBS) for construction and allied trades, Business Impact of Coronavirus Survey (BICS), public statement on COVID-19 and the production of statistics, Business Impact of Coronavirus (COVID-19) Survey (BICS), Construction OPI for new construction work, Construction OPI for all repair and maintenance, Output in the construction industry: sub-national and sub-sector, Construction output: sub-national and sub-sector, Construction output in Great Britain: August 2020, business prices to implement chain-linking, Output in the construction industry: sub-national and sub-sector dataset, model used to apportion new orders data to produce sub-level output data, IDBR (Inter-Departmental Business Register), Improvements to construction statistics: addressing the bias in early estimates of construction output, June 2018, the impact of COVID-19 on the UK economy and population, Coronavirus and the latest indicators for the UK economy and society: 5 November 2020, Coronavirus and housing indicators in England and Wales, Meeting the challenge of measuring the economy through the coronavirus pandemic, Real-time turning point indicators: a UK focus, Uncertainty and how we measure it for our surveys is available, Statistics and Registration Service Act 2007, Eurostat short-term business statistics (STS), Eurostat’s handbook on price and volume measures in national accounts, Impact of Covid-19 crisis on construction, Monthly GDP and main sectors to four decimal places, Monthly gross domestic product: time series, Housing in construction output statistics, Great Britain: 2010 to 2019, Comparing ONS’s economic data with IHS Markit and CIPS Purchasing Managers’ Index surveys, Conceptual and methodological differences between private housing construction output and gross fixed capital formation private sector dwellings, Construction statistics development: improving the understanding of new orders in the construction industry and the gap between output and new orders, construction statistics development work and analysis, Construction statistics: sources and outputs, Construction statistics, Great Britain: 2018, Production in construction (Eurostat) (PDF, 567KB), Coronavirus and the impact on output in the UK economy: September 2020. a = This denotes a record increase in growth for this series type since the monthly output records began in 2010. As the UK leaves the EU, it is important that our statistics continue to be of high quality and are internationally comparable. This publication contains analysis of a range of statistics on the construction industry, as well as information on sources, including value of output, new orders by sector, number of firms and total employment. Typically, an adjustment to address any bias in survey responses for construction output is applied to the early construction output monthly estimates. Monthly data prior to 2010 are derived using statistical methods from the available quarterly construction output data and should therefore be treated with some caution. This is a comparatively smaller industry where growth rates tend to be volatile and changes of this magnitude are not uncommon. This means private new housing work has decreased by 65.0% (£2,010 million) since January 2020 and is now at its lowest level since monthly records began in January 2010, as shown in Figure 4. The monthly series individual type of work series is then aggregated to form the quarterly seasonally adjusted chained volume measure series. The Construction OPI for new construction work grew by 0.2% on the year to September 2020 following three periods of decline from June 2020. This is not the latest release. Despite this, all repair and maintenance sectors in September 2020 remain below their February 2020 level of output, as shown in Figure 8. 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. Please note that sector estimates may not sum because of rounding. The survey’s results are used to produce non-seasonally and seasonally adjusted monthly, quarterly and annual estimates of output in the construction industry at current price and at chained volume measures (removing the effect of changes in price). Plus Contract news, Plant news the UK's largest construction search engine The largest contributor was public housing repair and maintenance, which grew by 10.3% (£59 million), the fourth consecutive month of double-digit growth. Table 3: Construction industry respondents to the Business Impact of Coronavirus (COVID-19) Survey (BICS) were more likely to answer turnover fell by more than 50% in the two weeks to 19 April 2020 than the results for all industries as a whole Percentage of businesses continuing to trade, by industry, UK, 6 April to 19 April 2020; Industry This means we will need to ensure that information is provided faster, using new data sources and changing how our surveys operate, to ensure we provide the information necessary as the situation unfolds. View latest release. 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. New orders grew by a record 89.2% in Quarter 3 2020 compared with Quarter 2 2020, following the record quarterly fall in Quarter 2 2020 of 54.0%; following this record quarterly growth new orders returned to a level comparable with Quarter 3 2019, increasing by 0.6% in the quarter-on-year series. 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. 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. As announced in the article Coronavirus and the effects on UK prices, Construction Output Price Indices data will form part of the quarterly Construction Output in Great Britain bulletins. Further articles on other construction statistics development work and analysis are available. Construction output can be broken down by different types of work. Short-term measures of output by the construction industry and contracts awarded for new construction work in Great Britain. UK construction market news, contract news, market data, market intelligence, forecast and international construction analysis The data however, includes full-time workers. Repair and maintenance has not seen growth in the three-month on three-month series for eleven consecutive months, driven by falls in private housing repair and maintenance, as shown in Figure 6. As the UK leaves the EU, it is important that our statistics continue to be of high quality and are internationally comparable. As the response rates for April 2020 are significantly lower (Table 5), and no comparable historical data are available at the time of the first estimate for a reference month, we have not applied a bias adjustment for April 2020. Use the selection system below to navigate to the UK Standard Industrial Classification (SIC) code of relevance to you. 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. This means that if output notably reduces in an industry from one month to the next, the imputed values for non-respondents in that industry will also notably reduce when compared with the last known value. Data for the Monthly Business Survey for construction and allied trades (MBS) was collected via online questionnaire for the first time for April 2020. Figure 5 shows the difference in three-month on three-month output from the different construction sectors, taken from our seasonally adjusted, chained volume measure series. The construction industry suffered a downturn in growth in May according to the latest figures from the Office of National Statistics. An unexpected decline in housebuilding meant the UK construction industry contracted for the ninth month in a row in January. New orders data are sourced from Barbour ABI who web scrape planning application data from all local authorities in England, Scotland and Wales; this method allows identification of planning applications as soon as they are published, while projects outside the planning application process are captured via investigations from Barbour's in-house team of researchers. Construction output grew by 2.9% in the month-on-month all work series in September 2020, driven by increases in both new work (2.7%) and repair and maintenance (3.4%); this is the fifth consecutive month of growth but the lowest rise in that time. The latest IHS Markit/CIPS UK Construction PMI figures have been released, showing that the construction market is continuing. Construction statistics annual for Great Britain, 2018. This is the largest month-on-month fall since monthly records began in 2010, and a considerably larger fall than the previous record fall of 5.9% (£791 million) in March 2020. We would like to use cookies to collect information about how you use ons.gov.uk. Table 2 shows previous record weakest growths in the month-on-month and three-month on three-month series. We have worked closely with respondents to the Monthly Business Survey (MBS) for construction and allied trades and have used additional data sources to inform the estimates in this publication. March 2020 was significantly impacted by coronavirus (COVID-19) leading to then record falls in monthly growth, including in all work which fell 5.9%. This means we will need to ensure that information is provided faster, using new data sources and changing how our surveys operate, to ensure we provide the information necessary as the situation unfolds. Similarly, anecdotal information from different employment and turnover sizes were comparable to the make-up of the MBS. Reaction to ONS construction industry output figures for May . The record 41.2% (£3,460 million) fall in growth in new work in April 2020 was driven by large decreases across all new work sectors. Skip to main content Tell us whether you accept cookies. Table 4 shows that despite strong quarter-on-quarter growth, some sectors remain below their Quarter 3 2019 level, particularly within all new housing work. Further information on the imputation methods for non-response is available. UK Construction Forecast Summer 2018 Volume 24: Issue 3 leading homeowners to spend more on their current properties. Response rates were considerably lower in April 2020 in comparison with April 2019 when measured by both the turnover coverage of the industry and proportion of questionnaire forms returned. Headline volume estimates of construction output are assessed against Eurostat’s handbook on price and volume measures in national accounts. We have worked closely with respondents and data suppliers and have used additional data sources to inform the estimates in this publication. Construction output in April 2020 was also significantly affected by COVID-19. Pagabo Announce Awards for £47bn Framework. In this publication we have released a short survey about the monthly construction output bulletin to gain feedback on its content. The road to recovery will be long and fraught.” The ONS have also released a public statement on COVID-19 and the production of statistics, this can be found here. You’ve accepted all cookies. Our monthly Construction Output Survey measures output from the construction industry in Great Britain. Construction statistics: sources and outputs Methodology | Released 2 October 2017 A list of the known sources of information available on the construction industry and their outputs. All new work fell by 0.9%, with infrastructure seeing a drop off of 4.1% on September’s figures. Construction statistics, Great Britain: 2018 Bulletin | Released 18 October 2019 A range of statistics on the construction industry, including value of output, new orders by sector, number of firms and total employment. However, because of the volatility of these statistics, time series analysis experts are regularly asked to review the seasonal adjustment when required. This is shown in Table 3. The increase in repair and maintenance (43.4%) in Quarter 3 2020 was because of record growth in all repair and maintenance sectors; the largest contributor was private housing repair and maintenance, which grew by 70.9% in Quarter 3 2020 compared with Quarter 2 2020. However, because of the delay in companies making VAT returns, these data are only taken on after a lag period. 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. Construction output index: new private housing in Great Britain 2000-2019. 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. Short-term measures of output by the construction industry in Great Britain and contracts awarded for new construction work in the UK. However, it is difficult to quantify the exact impact of COVID-19 alone on the industry. Typically, an adjustment to address any bias in survey responses for construction output is applied to the early construction output monthly estimates. Construction output can be broken down by different types of work. 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 construction sector is one of the largest in the UK economy – employing 3.1 million people or over 9% of the workforce. 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 the coronavirus. Our monthly Construction Output Survey measures output from the construction industry in Great Britain. 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. Evidence from this survey shows that the construction industry respondents had a lower proportion of their workforce on partial or furlough leave than the average for all industries. 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. The large monthly decreases in April 2020 are corroborated by evidence from the Business Impact of Coronavirus (COVID-19) Survey (BICS). Peaks and troughs seen within the new work index between January 2016 and September 2020 are mostly because of movements within the earnings component of the OPI, which is sourced from the Average Weekly Earnings (AWE) index for construction. Coronavirus and the impact on output in the UK economy: September 2020 Bulletin | 12 November 2020 An analysis of monthly growth for the production and services industries between August 2020 and September 2020, highlighting the impact from the coronavirus (COVID-19). 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. In this article, written in partnership with David Lawrence, vice president of Fonn UK, he examines how COVID19 is changing the construction industry. Source: Office for National Statistics – Business Impact of Coronavirus Survey (COVID-19) (BICS). ONS: Construction industry output dropped in May. Strong housing market fuels UK construction industry rebound. 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). The Office of National Statistics has released its figures for September revealing that the UK construction industry suffered its worst showing in four years in this year’s third quarter. 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