FX.co ★ UK Construction Output Falls for 8th Straight Month

UK construction output fell 2.3% year-on-year in June 2026, a deeper contraction than the revised 2.0% decline recorded in May and the eighth consecutive monthly drop. However, the result was slightly better than market expectations of a 2.4% decline.

New work decreased for the ninth month in a row (-5.9% vs -6.5% in May), while growth in repair and maintenance slowed to a six-month low (2.8% vs 4.6%). On a monthly basis, total construction output edged down 0.1%, a much smaller fall than May’s 0.8% decline, though it still marked a third straight monthly decrease. The more modest drop reflected flat repair and maintenance activity, while new work slipped 0.3%, extending its run of monthly contractions.

Despite June’s weak performance, output rose 0.3% in the three months to June, the fourth consecutive increase on a rolling three-month basis. The gain was supported by growth in both new work (0.4%) and repair and maintenance (0.2%).