UK construction output has fallen for the fifth consecutive quarter, despite a small recovery in February, according to latest data from the Office for National Statistics (ONS).
Total construction output is estimated to have fallen by 2% in the three months to February 2026, the fifth consecutive fall in the three-monthly series.
Over the three-month period, new work fell by 3.4%, while repair and maintenance showed no growth (0.0%).
At the sector level, six out of the nine sectors fell in the three months to February 2026, the main negative contributor to the decrease was private new housing, which fell by 6.5%.
Monthly construction output is estimated to have grown by 1% in February 2026; this follows an upwardly revised increase of 0.5% in January 2026, and a downwardly revised decrease of 1.3% in December 2025.
The increase in monthly output in February 2026 came from increases in both new work, and repair and maintenance, which grew by 1.0% and 0.9%, respectively.
Richard Cook, senior economics director at Pegasus Group - an independent UK development consultancy specialising in planning, design, environment, economics and heritage - said:“After four consecutive months of falling construction output figures, today’s numbers are a welcome tonic to an industry which has long struggled through mounting headwinds.
“The rise could, in part, be due to long-awaited changes to the National Planning Policy Framework (NPPF), which are set to cut the extensive planning delays which have bogged down the industry for years. With further changes set to be announced in the summer, there’s a chance things might finally be changing for the better.
“Naturally, any green shoots will be contending with several crucial economy-wide pressures. The conflict in Iran, for example, will undoubtedly have a drastic effect on the UK economy, which would be passed onto the construction industry. If this leads to a UK recession, housebuilding in particular could face a substantial downturn, which would seriously hurt the Government’s chances of building 300,000 homes a year – a target it is already struggling to hit
“Even without a recession, the UK’s barely growing economy has already taken a beating from the ongoing conflict, which will naturally hit the construction industry further. The IMF recently claimed the UK will be the hardest hit by conflict out of any advanced economy globally, downgrading its estimate for UK growth in 2026 to only 0.8%. Put simply, the already dire situation facing the chancellor has only gotten worse.
“While rising construction outputs is a good sign, the government must understand that past performance is not indicative of future results. Further intervention from the government is still needed to protect this crucial sector.”
