Construction growth of 0.9% bucks wider shrinking economy

Construction growth of 0.9% bucks wider shrinking economy
Construction output rose 0.9% in April, marking the third month of growth in a row and defying a 0.3% drop in overall UK GDP.
The latest ONS figures show new work drove the gains, jumping 1.4%, while repair and maintenance edged up by 0.3%.
Infrastructure and private commercial jobs led the new work charge, up 2.0% and 1.7%, respectively. The only fall came from private industrial work, down 1.2%.
Output in the three months to April rose 0.5%, with new work up 0.9% and maintenance just 0.1%.
Clive Docwra, managing director of McBains, said: “Today’s figures are better than many expected, especially given they buck the overall economic picture, and will give hope that the construction sector’s recovery may be starting to generate some impetus.”
“New work orders increasing by 1.4%, and infrastructure output specifically growing by 2%, are particularly encouraging.
“Yesterday’s Spending Review’s announcement of new money for social and affordable housing and infrastructure projects will give a welcome confidence boost to a number of work sectors.
“The sector will also be hoping for an interest rate cut next week which would help trigger more investment at a time when continued momentum is still needed.”
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