FX.co ★ UK Construction Output Growth at 9-Month High

In February 2025, the UK construction sector experienced a 1.6% increase in output compared to the previous year, aligning with market expectations, after a revised stagnant performance in January. This surge marks the most robust expansion in construction activity since May 2024, primarily driven by a 1.7% increase in new work output, up from 0% in January, along with a recovery in repair and maintenance activities, which saw a growth of 1.4%, reversing from a previous decline of 0.1%. However, the growth rate in overall housing output slightly dipped to 1.2%, down from 1.6% in January. On a monthly scale, construction activity rose by 0.4%, recovering from a 0.3% decrease in the prior month. This improvement was bolstered by upticks in both new works, which grew by 0.3%, and repair and maintenance activities, which increased by 0.5%. Assessing the three-month span up to February, overall construction output remained steady, with a 1.2% rise in new work being counterbalanced by a 1.5% decrease in repair and maintenance.