The Office of National Statistics has revised construction output upwards but fears of recession still loom, Building reported.
The latest set of construction figures show that ouput fell 0.2% between July and September 2011, compared with a previous estimate of -0.6%.
But construction economist Brian Green said the revision was to be expected. “The process used by the ONS at the moment leads to quite substantial upward revisions each month.
“The current set of figures remain consistent with the industry dipping into recession in the coming months.”
The value of construction work fell by 1.5 per cent in September compared with the previous month, Construction News reported.
The value of all work fell to £10.54 billion in September, down from £10.71 bn in August, the ONS figures revealed.
Construction volumes have fallen by 1 per cent in the last year and by 0.2 per cent between the second and the third quarter.
Quarter on quarter volume reductions were experienced in six out of nine construction sectors covered by the statistics.
Andrew Duncan, managing director of property at the project management consultancy Turner & Townsend, said: “These figures are further evidence of the strength of the bad economic headwinds buffeting the construction sector.
“As the Eurozone debt crisis goes from bad to worse, a tidal wave of uncertainty is washing across the Channel, swamping any green shoots that may have sprouted in the second quarter.
“The omens for next year are not good, as the Eurozone saga shows little sign of abating, and the doubt it is sowing risks undermining the fragile progress made by the industry in 2011.”
