Spicerhaart PX comments on latest ONS Construction Output figures

11 October 2024

Following the release of the latest ONS construction output figures, which shows a 0.4% increase in construction output and total housing grow by 2.7% in August, we have a comment from Spicerhaart Part Exchange & Group Clients.

Spicerhaart Part Exchange & Group Clients acts for builders and developers across the UK and is part of Spicerhaart, the UK’s largest independent estate agency and property services group.

Neil Knight, divisional director of Spicerhaart Part Exchange & Group Clients, said: “Following a 0.4% drop in output in July, it is encouraging to see this bounce back and correct itself in August. The biggest driver in this is a rise in new work which is hugely positive. It shows that house buyers and construction clients are responding well to improving borrowing conditions and the first cut to the base rate.

“We can certainly see this with private commercial new work and private housing new work leading the charge in August, with 2.7% growth in total new housing. In our conversations with housing developers, they are reporting improving confidence and increasing momentum. While there’s still question marks around the upcoming budget and its impact on household finances, the renewed emphasis on housebuilding – along with growing sentiment around the path of interest rates – is helping to drive activity.

“As they continue to get spades in the ground and get their ducks in a row to meet rising demand, we are seeing increasing interest in partnerships for key incentives such as part exchange and assisted move. By outsourcing this process, developers are able to achieve greater efficiencies and deliver a far better service to buyers.”