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Construction grew 1.8% last year despite sharp Q4 fall
Construction firms ended 2025 in growth territory despite a slow end to the year that saw output fall sharply in the final months.
Latest data from the Office for National Statistics shows total construction output rose 1.8% in 2025 compared with 2024 — the fifth consecutive year of annual expansion.
But momentum faded sharply in the final three months of the year, according to official figures published this morning.
Total output fell 2.1% in Quarter 4 (October to December) compared with Quarter 3, with both sides of the market under pressure. New work dropped 2.6% while repair and maintenance declined 1.5%.
Across the main sectors, private new housing was the biggest drag, shrinking 3.6%.
On a monthly basis, output slipped 0.5% in December, following a revised 0.8% fall in November and a 1.6% drop in October.
December’s decline came entirely from a 2.5% slump in repair and maintenance, as new work edged up 1.0%.
Forward indicators were also weaker. Total new orders fell 3.8% (£469m) in Quarter 4 compared with Quarter 3, driven mainly by declines in private commercial and private industrial work.
Construction output price growth eased to 2.7% in the 12 months to December 2025.
Source: Construction Enquirer
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