Output in the construction industry is estimated to have decreased by 1.1% in Q1, compared to Q4 2015, according to the Office for National Statistics (ONS).

However, with regards to housing, Q1 saw an increase 4.8% in total new housing output compared with Q4 2015. Both public and private new housing reported increases of 4.2% and 4.9% respectively.

When compared with the same period a year ago, there was an increase of 3.4% in total housing, with private housing increasing by 7.5% offset slightly by a fall in public new housing of 14.3%. 

Andrew Bridges, managing director of Stirling Ackroyd commented: “Housing is holding its own within a wider construction sector that’s going the wrong way. But in spite of all the scaffolding, Britain’s new homes industry still can’t keep up with the scale of demand for property.

“London is the capital of that mismatch, and should be ripe with construction opportunity. But developments are becoming deadlocked in the planning matrix. In the run-up to the mayoral election, 4 in 10 new homes were rejected by planners. This needs to be tackled.”