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Construction output booming in the UK

Published by , Editor - Hydrocarbon Engineering
World Cement,

The construction industry in Britain has witnessed a boost in business as the economic outlook improves, growing by 0.8% in 3Q13. This was fuelled by new housing projects and development in the commercial and engineering sectors. Furthermore, a better outlook for the UK economy has caused an increase in spending on building projects. Construction companies have had their highest employment rate for new workers in six years in anticipation of increased construction work. The government are also behind the increase in construction activity and encouragement of investment in property, with the setting up of the Help to Buy scheme for first time buyers.

Figures for UK construction industry

  • The output measure for the Markit/CIPS UK Construction PMI was 59.4 at the beginning of the month, compared to 58.9 in September 2013. This is the highest it has been since the same period in 2007.
  • The beginning of 3Q13 showed a 2.5% increase in construction output and this activity is predicted to continue throughout the quarter.
  • The output of construction increased by 5.8% y/y. Over the same period new housing showed growth of 13.6%. However, m/m construction output saw a decrese of 0.9%.

GB cement sales

  • Domestic cement sales have risen from 646 000 t in September 2012 to 748 000 t in September 2013.
  • Clinker production has increased from 545 000 t in September 2012 to 613 000 in September 2013.


However, the state of the economy is not certain. Although the construction industry is booming, the industry only accounts for 6.3% of national output. Despite this, there remains hope that the construction sector will help the economy to see further GDP growth in 4Q13.

Edited from various sources by Rosalie Starling

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