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UK building sector shows worst results since 2012

Britain’s building industry production slid 2.7% in March, the fall unseen since August 2012, as says the Office for National Statistics’ data. The three-month decrease compared to the three prior months was caused by shrinking in repair and maintenance, as well as new work, showing declines of 2.8%, 2.6% respectively, the Office reported.

Surprisingly, the reason for that was ascribed to bad weather, though the Office citing an insufficient number of respondents said it was hard to establish the real effect on the sector. At the same time the data by the Royal Institute of Chartered Surveyors demonstrates that home prices in London had set a performance antirecord of almost a decade.

A few months of steady growth before March this year were followed by a moderation in private housing, dipping by 1.6% in the three month from the preceding stretch of three months. Building industry production decreased month-on-month too, waning by 2.3%.

Home construction was not just the only positive element among generally downbeat data – it was of symbolic importance being a beacon of demand, said Blane Perrotton of Naismiths. The industry is very much vulnerable without it, he added.

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