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14.05.202606:09:50UTC+00UK Construction Output Shrinks Less than Expected

UK construction output declined by 0.3% year-on-year in March 2026, easing from a 1.6% fall in February and beating market expectations of a 2.5% drop. This marked the fifth consecutive month of annual contraction, but also the mildest in the current downturn. New work fell 4.4%, a smaller decline than February’s 6.1%, while repair and maintenance activity strengthened, rising 5.7% compared with 4.8% previously. On a monthly basis, construction output grew by 1.05%, up from 0.5% in February and the fastest pace since May 2024, supported by increases in both new work (2.0%) and repair and maintenance (0.8%). Over the three months to March, total construction output edged up 0.4%, as a 3.4% rise in repair and maintenance offset a 1.9% contraction in new work.

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