The latest ONS construction figures, released today, show that construction output has continued to fall in January.
The figure for January 2012 shows that output in this month was 12 per cent lower than for December 2011 and for the three month period ending January 2012, output was 11 per cent down compared to the previous three months.
Commenting on the figures, Noble Francis, Economics Director at the Construction Products Association said: ‘Overall, we are not particularly surprised that construction output has continued to decline, due to the effect of the public sector cuts. However, what is extremely disconcerting is that while public sector construction activity has fallen 12 per cent in the three months to January compared to the previous three months, private sector construction has fared almost as badly, falling 10 per cent over the same period.
‘The government has made much play on private sector construction leading the recovery, as the public sector cuts begin to bite. Unfortunately from the ONS data out today, this recovery is just not happening and even commercial activity, usually the largest private construction sector is showing a fall of 11 percent.
‘With this evidence, it is imperative that the Chancellor uses his budget speech later this month to provide an urgent boost to kick start construction activity, so as to get the economic recovery back on track.
NOTE TO EDITORS:
The Construction Products Association represents the UK’s manufacturers and suppliers of construction products, components and fittings. The Association acts as the voice of the construction products sector, representing the industry-wide view of its members. The sector has an annual turnover of £50 billion and accounts for 44% of total construction output.
FOR FURTHER INFORMATION CONTACT:
Simon Storer
Communications and External Affairs Director
Construction Products Association
Tel : 020 7323 3770
Fax : 020 7323 0307
Mobile : 0770 286 2257
E-mail : simon.storer@constructionproducts.org.uk
Noble Francis
Economics
Director
Construction Products Association
Tel : 020 7323 3770
Fax : 020 7323 0307
E-mail: noble.francis@constructionproducts.org.uk