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Monthly construction output edged up by 0.2% in July, following a 0.3% lift in June, according latest official figures out today.

The modest gain came solely from a 0.3% increase in new work, as repair and maintenance output stood still.

The industry managed to outperform UK GDP which flatlines in July with no growth recorded.

Across the 3 months to July, construction output crept up by just 0.6%, underlining sluggish growth across the sector.

New work managed a 1% rise over the period, while repair and maintenance was virtually flat at 0.1%.

Private housing R&M, up 3.8%, and infrastructure new work, up 2.1%, were the only real bright spots, with just four of the nine monitored sectors showing any growth.

Clive Docwra, managing director of property and construction consultancy McBains, said: “After June’s figures showed a fall in new orders, the sector will welcome that July saw an increase in new work, albeit moderate.

“There is still underlying confidence within the industry that the medium-term outlook for growth remains encouraging, but many firms will still have to navigate the headwinds of uncertainty over the next few months.

“For instance, as recent analysis we carried out found, current market conditions mean more developers are expected to continue to push forward with major commercial projects on a stage-by-stage basis to provide cover for concerns over costs and pricing.”

 

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