Latest data from the Office for National Statistics has shown a tough start to the year for the construction sector.

Monthly construction output is estimated to have fallen by 0.2% in volume terms in January - this follows a decrease of 0.2% in December 2024.

This decrease in monthly output came solely from a fall in new work (0.7%) as repair and maintenance grew by 0.4%.

Anecdotal evidence from survey returns noted adverse weather, including heavy rain, snow and storms as having a negative effect on output.

At the sector level, ONS said three out of the nine sectors fell in January - the main contributors to the monthly decrease were private commercial new work and private housing new work, which fell by 6.1% and 1.8%, respectively.

Construction output is estimated to have increased by 0.4% in the three months to January 2025. This his came solely from an increase in new work (1.4%), as repair and maintenance fell by 0.9%.

The increase in construction output in the three months to January 2025 came solely from November 2024 (0.6%).

Scott Motley, head of programme, project and cost management at AECOM, said: “A negative reading tallies with other industry barometers and confirms the notable slowdown seen since the start of the year.

“With the UK’s much-needed infrastructure upgrades at the heart of the government’s growth strategy, the latest raft of announcements from Whitehall brings reason for optimism for contractors concerned by challenging economic conditions.#

“Indeed, the much-trailed Planning and Infrastructure Bill is the most significant shift towards a properly supported, long-term infrastructure strategy in a generation.

“The bill should ultimately facilitate greater private sector investment – the need for which is likely to come into even sharper focus as the chancellor potentially eyes up more cuts to local authority funding ahead of the spring statement.”