Turnover in the UK construction sector fell by 7.3% last year, ONS data published last week reveals.
The sector boasted a turnover of £359bn at the beginning of 2021, but this fell to £333bn 12 months on, analysis of Thursday’s figures by innovation funding specialist Catax shows.
Despite this, the number of construction businesses held steady, growing by 0.1% to 914,475. In comparison, business numbers in the UK overall fell by 1.5% over the same period.
The number of people employed in the construction sector also grew by 1.2% to 2.1 million.
Mark Tighe, CEO of innovation funding specialist Catax, comments:
“The supply of essential materials was massively disrupted last year and may have contributed to the construction sector’s fall in turnover.
“The industry still faces challenges, not least rising inflation which has sent the price of those materials soaring.
“At the same time, the construction industry is critical to the UK’s drive to net zero and so it is vital that it keeps innovating and growing.”