Construction output fell for a second consecutive month in May, as a sharp drop in housing repair and maintenance more than offset modest growth in new work.

Latest data from the Office for National Statistics said monthly construction output fell by 0.8% in May 2026; this follows a decrease of 0.1% (revised from an increase of 0.1%) in April and an increase of 1.4% in March 2026.

May’s drop came solely from a decrease in repair and maintenance, which fell by 2.1% while new work grew by 0.2%. The main contributor to the monthly decrease in repair and maintenance was private housing repair and maintenance, which fell by 5.0%.

Despite May’s decline, the broader trend remained positive.Total construction output is estimated to have grown by 1.6% in the three months to May 2026 - this is the third consecutive increase in the three-monthly series.

Over the three-month period, both new work and repair and maintenance grew by 1.1% and 2.1%, respectively. At the sector level, seven out of the nine sectors grew in the three months to May 2026. The main positive contributor to the increase was non-housing repair and maintenance, which grew by 3.0%.

Jo Streeten, managing director, Buildings and Places at AECOM, said: “The fall in output highlights that economic and political uncertainty is continuing to weigh on investment decisions across the sector.

"Today's figures reinforce our latest market forecast has been pointing to, a two-speed construction market, where long-term infrastructure continues to provide resilience while many private developments remain under pressure from financing costs and economic uncertainty.

"The government's support for Heathrow expansion is an important example of the kind of nationally significant infrastructure investment that can strengthen UK competitiveness while creating skilled jobs and training opportunities. Maintaining momentum behind projects like these will be essential to delivering lasting economic value for any government."