Latest estimates from the Office for National Statistics (ONS) show total construction output falling by 1.3% in November 2025. This follows a downwardly revised decrease of 1.2% in October 2025 and a 0.3% increase in September 2025.
The decrease in monthly output in November 2025 came from a 1.9% decrease in new work and a 0.4% decrease in repair & maintenance.
Over the three-month period to November 2025, construction output is estimated to have fallen by 1.1% 鈥� the largest three-month fall since March 2023 (1.4% fall).
Over the three-month period, new work fell by 1.0% and repair & maintenance fell by 1.1%.
At the sector level, four out of the nine sectors fell in the three months to November 2025; the main negative contributor to the decrease was private housing repair & maintenance, which fell by 3.7%.
The ONS reported: 鈥淎necdotal evidence suggests that delays in work and customer spending were affected by economic uncertainty ahead of the autumn budget announcement.鈥�
Some industry commentators were keen to talk things up to encourage clients.
Aecom managing director Jo Streeten said: 鈥淎 dip in output is a reminder that confidence in the sector remains fragile, with many clients and developers still hesitating before committing to new projects.聽 January will be about laying the foundations for growth this year. With inflation easing and interest rate cuts expected to continue, clients and developers should feel more confident about taking projects off the shelf and getting them moving again.鈥�
Despite the fall in construction output, gross domestic product grew by 0.3% in November 2025 and by 0.1% for the three months to November 2025.
David Crosthwaite, chief economist at the Building Cost Information Service (BCIS), said: 鈥淎 19-month low in construction output speaks to the culmination of budget uncertainty, client and investor hesitancy and challenges in project viability at the tail end of 2025.
鈥淪ignificant downturns in public and private housebuilding activity are a major concern. It continues to suggest that conditions are not conducive for development to progress and underscores the sustained impact of decision-making delays in the planning system.
鈥淧rocess reforms to the Building Safety Regulator are bedding in but capacity constraints in the wider planning system will likely require a more immediate solution than longer-term changes to national regulation.
鈥淧romisingly, the wider economy saw higher-than-expected growth in November. Interest rates and inflation are also softening which should hopefully prompt more positive sentiment among clients and investors. After months of disappointing results, these are the silver linings construction needs.鈥�
Got a story? Email news@theconstructionindex.co.uk
