Construction grew by 17.6% in June 2020

This post has already been read 516 times!

Construction bounced back in June with a huge increase according to the ONS with nearly 18% in July despite fears that the pandemic would curtail the recovery.

Construction is firmly in the recovery stage on track, although buyers are raising concerns about order levels in the August Chartered Institute of Procurement & Supply sentiment survey.

The continued growth in July is the third consecutive month of growth since the record monthly decline after lockdown of 40% in April.

Clive Docwra, managing director of leading construction consulting and design agency McBains, commented saying: “Today’s figures will be welcomed by the construction sector as a sign of its continuing recovery, but in reality they need to be viewed in the context of an industry that experienced a record 40% drop in output at the height of the lockdown.

“Construction is still a long way from being out of the woods and the upturn is extremely fragile.

“The big concern for the industry is if there’s a second spike and a further lockdown. The government needs to do all it can to ensure the sector maintains its recovery.

“On top of this, of course, a potential no deal at the end of the Brexit transition period is making investors nervous about committing to new projects.

“The Prime Minister may want the industry to ‘build, build, build’ but that’s difficult when many investors are saying ‘wait, wait, wait’ and holding off embarking on new developments until there’s greater clarity.”