Total development output grew by 1.2% in the second quarter (April-June 2025) in contrast with the primary quarter.
This is in accordance to the most recent estimates from the Office for National Statistics which additionally reveals that new work elevated by 1.1% over the second quarter, whereas restore and upkeep grew by 1.4%.
Monthly development output is estimated to have grown by 0.3% in June 2025; this follows a fall of 0.5% in May 2025 and a rise of 0.9% in April 2025.
At the sector degree, 5 out of the 9 sectors grew in June 2025; with each public and private sector work nationally rising. On a nationwide degree, public sector housing work elevated to £1.46bn from £1.29bn in Q1; and private housing to £12.65bn from £11.06bn in Q1.
Commenting on the most recent data Hampshire Trust Bank managing director of growth finance Neil Leitch stated: “An increase in new private housing is sweet to see, however output continues to be under the place it was earlier than the pandemic, so there’s a great distance to go.
“Approvals on paper don’t construct houses. Unless the corporations who do the work are financially steady and have the folks they want, these permissions will simply sit there. That’s the actual threat – approvals with out supply.
Leitch identified that lots of SME development corporations, and the subcontractors and suppliers they depend on, had been beneath elevated strain.
“Begbies Traynor’s figures present extra are in monetary misery, and ONS data has development because the slowest rising sector of the economic system in the primary quarter. When supply relies on companies working on tremendous margins, the sector is at all times one shock away from stalling.”
Leich added that the UK wouldn’t hit housing targets until the entire supply chain was robust sufficient to meet them.
“That means giving planning groups the useful resource to make well timed choices, backing SME development companies to allow them to commit to tasks, and changing the abilities we’re shedding because the workforce ages. Without that functionality on the bottom, thea ambition to construct extra houses will keep simply that, an ambition.”
Earlier this week UK housebuilder Persimmon reported a stronger first half and ahead order guide and business marketing consultant McBains revealed a extra upbeat outlook for UK housebuilding.
