–Construction Unlikely To Boost Growth In Q4
LONDON (MNI) – The Office for National Statistics has said that the
value of construction work by contractors fell by 2.3% pm the month in
October to stg8.691 billion, down from stg8.899 billion in September.
Although the fall is not a huge drop, it shows that the
construction sector is unlikely to provide the lift to growth in Q4 seen
through Q2 and Q3, according to Howard Archer, Chief UK Economist at IHS
Global Insight.
“While the construction sector only accounts for 6.3% of GDP, a
surge in construction output added 0.6 percentage point to GDP growth in
the second quarter and a further 0.2 percentage point to growth in the
third quarter,” he said.
“This reinforces the belief that the economy will not be able to
rely on a significant growth contribution from the sector going forward,
unlike in the second and third quarters,” he added.
–London newsroom: 4420 7862 7492; email:wwilkes@marketnews.com
[TOPICS: M$B$$$,MABDS$]
