Monthly construction output is estimated to have fallen by 0.6% in May 2025, a reversal of fortunes after three consecutive periods of growth.

May’s decline came after an increase of 0.8% in April.

The decrease in monthly output in May came solely from a decline in repair and maintenance (2.1% fall), as new work increased by 0.6%.

At the sector level, output in five out of the nine sectors fell in May 202. The main contributors to the monthly decrease were non-housing repair and maintenance, and private housing repair and maintenance, which fell by 2.4% and 1.8%, respectively.

Total construction output is estimated to have grown by 1.2% in the three months to May 2025 - new work increased by 0.9%, and repair and maintenance by 1.5%.

Scott Motley, head of programme, project and cost management at AECOM, said: “A dip in output, particularly after a positive couple of months, will come as a disappointment for many contractors.

“However, there is hope that recent government commitments and the warmer weather will support steady growth in the coming months.

“The government’s new five step plan for social and affordable housing and the £39bn commitment for a new 10-year Affordable Homes Programme has been a welcome commitment.

“This is a real opportunity for the housing sector to demonstrate it can deliver national growth. However, where funding gaps still linger, and projects carry significant risk, there remains opportunity for local authorities and developers to leverage public-private partnerships to scale up delivery of the homes we desperately need.”