Data on construction output from the Office for National
Statistics (ONS) showed that there was a 1% month-on-month increase in construction
output during the month, rising to £13,066m. It was the sixth consecutive month
of growth since a record decline of 41.2% in April 2020 but output in October
2020 still remains 6.4% (£898m) below the February 2020 level, before the full
impact of the coronavirus pandemic.
Both new housing and housing repair and maintenance saw a
large decline in March and April 2020 and have since bounced back strongly, whereas
other types of work such as infrastructure and public other new work saw a
comparatively smaller fall in March and April 2020 and have registered
relatively small growth since.
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Infrastructure is the only part of the construction sector to have recovered to a level above the pre-lockdown level of output.
Commenting on the figures, Caroline Gumble, chief executive at the CIOB, said: "Throughout this year, I have been consistently impressed with how resilient the construction industry has been in these uncertain times, although it does look like early 2021 will be challenging. Construction is a key driver of the economy and will bounce back. However, in order to ensure the industry is supported and can play its role in the economic recovery, the CIOB would like to see the government make a national retrofit plan an infrastructure priority and a core element of the Industrial Strategy. This will provide a clear direction of travel for the construction industry and the certainty the private sector needs to invest in improving the energy efficiency of our built environment."
Mark Robinson, group chief executive at public sector
procurement organisation Scape, said: “The real-time picture in construction
remains encouraging with a good momentum behind the sector as it comes to the
end of an undoubtedly turbulent year.
“The story behind these numbers is largely that of a
public-sector driven recovery, which makes this week’s publication of the
Construction Playbook all the more timely. It provides the roadmap for turning
the government’s desire for ‘better, faster, greener’ delivery into a practical
reality.
“Whilst the pressure on the public sector to drive
construction output will continue well into 2021, the industry can only return
to full health once a broader construction pipeline is exposed. There is
however, a clear end in sight for the pandemic with the nationwide vaccination
programme, which will be key to restoring industry-wide confidence.
“Brexit however raises immediate concerns, with rising
material and labour costs already affecting sites across the UK. Ultimately,
the prospect of a disruptive end to the transition period risks magnifying an
already challenging situation and cutting into the gains the industry has made
during the final months of the year.”
