After a rocky start to 2020 due to the COVID-19 pandemic, it looks like the construction industry is finally seeing some growth.

Monthly construction grew by 17.9% in July 2020, this follows on from a record monthly growth of 23.5% in June 2020, rising £11,922 million due to growth in all construction sectors. However, growth is at a lower level than all construction output prior to February 2020, which was before the full impact of the COVID-19 pandemic. This is shown by total construction output in July 2020 being 11.6% lower when it is compared to February 2020.

The July 2020 growth is the third consecutive month of growth since a record monthly decline was recorded in April 2020, 40.2%. Then record monthly growths were shown in May 2020 (7.6%) and June 2020 (23.5%). The July month growth of 17.6% is the second-largest monthly growth since monthly records began in January 2010.

In the three months leading to July 2020, construction output fell by 10.6%, this is in comparison to the previous three-month period. This was driven by a fall in both new work, 9.7% and repair and maintenance 12.4%.

The decrease in new work, 9.7% in the three months leading to July 2020 was due to a fall in every new work sector, apart from infrastructure, which grew by 6.0%, the largest negative contributor was private new housing, this fell by 17.0%.

The decrease in repair and maintenance, 12.4% in the three months to July was also due to falls in all repair and maintenance sectors, with the largest contributor again being private housing repair and maintenance, which fell by 17.9%.

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