Construction output has seen continued signs of growth, according to the latest data from the Office for National Statistics.

Monthly construction output is estimated to have grown by 1.5% in March 2026, this follows an increase of 0.5%, (revised from 1.0%) in February 2026, and an increase of 0.7%, (revised from 0.5%) in January 2026.

The report also said anecdotal evidence from businesses suggested notable financial year-end pushes increased output.

The increase in monthly output in March 2026 came from increases in both new work and repair and maintenance, which grew by 2.0% and 0.8%, respectively.

Total construction new orders fell by 10.5% (£1,238 million) in Quarter 1 2026 compared with Quarter 4 2025; this quarterly decrease came mainly from private commercial new work and infrastructure new work.

Total construction output is estimated to have grown by 0.4% in Quarter 1 (January-March) 2026 compared with Quarter 4 (October-December) 2025; repair and maintenance grew by 3.4%, while new work fell by 1.9%.

At the sector level, four out of the nine sectors grew in Quarter 1 2026; the main positive contributor to the increase was private housing repair and maintenance, which grew by 4.1%.

The annual rate of construction output price growth was 0.8% in the 12 months to March 2026.

Richard Cook, senior economics director at consultancy Pegasus Group, said: “We’ve now had a second month of rising construction outputs, which is a welcome sign that things may now be looking up for housebuilders after months of tough market conditions.

“While the headline figure is clearly a positive step in the right direction, it obscures underlying challenges that housebuilders must remain mindful of. The ongoing conflict in the Middle East is having a damaging effect on the UK economy which isn’t yet reflected in these figures.

“Economic forecaster, The ITEM Club, has estimated the UK will lose 163,000 jobs this year, 32,500 of which will be in the construction sector – a substantial hit to a sector already struggling with skills shortages.

“However, for now, rising construction output is a good sign that the UK construction sector can return to health in the long-term.”