Construction output in the United Kingdom increased 1.7 percent year-on-year in May 2019, following an upwardly revised 3.1 percent rise in April and above market expectations of a 0.9 percent gain. It was the weakest growth in construction activity since December. Output rose less for all new work (3.6% vs 3.9% in April), mainly hampered by declines in other new work from public (-7.3% vs 1.5%); private commercial (-6.8% vs 4.7%) and private industrial (-0.7% vs 11.9%). Conversely, activity advanced faster for total housing (9.4% vs 8.5%) and infrastructure (13.6% vs 12.4%). Meantime, all repair and maintenance decreased (-1.8 percent vs 1.6 percent). On a monthly basis, construction output advanced 0.6 percent, after an upwardly revised 0.5 percent fall in the prior month and beating market consensus of a 0.4 percent gain. Construction Output in the United Kingdom averaged 2.12 percent from 1997 until 2019, reaching an all time high of 24 percent in March of 2002 and a record low of -19.20 percent in January of 2010.
Construction Output in the United Kingdom is expected to be 0.60 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Construction Output in the United Kingdom to stand at 1.40 in 12 months time. In the long-term, the United Kingdom Construction Output is projected to trend around 1.50 percent in 2020, according to our econometric models.