UK construction output rises less than expected in October, ONS reveals

UK construction output rose less than expected in October from a month earlier, the Office for National Statistics revealed on Friday.

Output increased 0.2% month-on-month in October, missing expectations for a 1% increase but better than the previous month’s 0%. A 1.2% increase in new work was offset by a 1.5% decrease in maintenance, the ONS said.

In comparison to the same month a year earlier construction output gained 1% in October, well ahead of estimates for a 1.1% drop and September’s 0.3%.

The ONS raised its estimate for third quarter construction output by 0.3 percentage points to a 1.9% fall.

"UK construction saw a return to growth at the start to the fourth quarter, according to official estimates, though the pace of expansion remains surprisingly weak," said Chris Williamson, chief economist at Markit. "The numbers also need to be treated with caution due to the potential for large revisions."