UK construction output unexpectedly drops in November

UK construction output unexpectedly dropped in November from the previous month, according to figures released by the Office for National Statistics.

Output fell 0.5%, its biggest decline since May 2013 and well short of economists’ expectations for a 0.5% increase. Output had edged up 0.2% in October.

Year-on-year, output was down 1.1% compared with a 1% rise in October and expectations for a flat reading.

Howard Archer, chief European and UK economist at IHS Global Insight said: “Another blow to hopes that UK GDP growth picked up in the fourth quarter of 2015 as construction output disappointing fell 0.5% month-on-month in November. This follows on from the even more damaging news that industrial production fell 0.7% month-on-month in November.”