Busy Q4 drives output

Construction output grew 6% last year to £113.5bn in value terms, according to the latest data from the Department of Trade & Industry, thanks in part to a strong fourth quarter. That growth was backed by a slightly less impressive 1% boost in volume.

Setting the Q4 performance in context, while it was just 2% better in value and 1% better in volume than Q3, it was fully 8% in value and 3% in volume ahead of Q4 2005.

New work improved 9% in value to £64.4bn in 2006, backed by a 5% boost in volume.

The two healthiest new work sectors in 2006 will come as no surprise: public housing – up 29% in value to pass the £3bn mark, backed up by a 23% boost in volume; and private commercial – up 16% in value to £20.1bn, backed by a 13% boost in volume, thanks largely to the demand for office space and spending coming through from the government on health and education.

Private industrial improved in both value and volume, as did private housing.

Infrastructure increased 1% in value, but volume dropped 6%. Other public output slipped 2% in value and 4% in volume.

Overall, the repair, maintenance and improvement sector increased in value by 3% to £49bn, but volume actually fell 3%.

Public and private housing RMI both increased 3% in value, but both slipped 3% in volume.

Non-housing private RMI increased its value 6%, but volume was static. Non-housing public RMI dropped 2% in value and fell 7% in volume.