Tough quarter for UK construction sector

The British construction sector declined sharply in the first quarter of 2016, adding to signs that the economy struggled against global weakness and uncertainty about June’s European Union referendum, data showed yesterday.

The UK’s Office for National Statistics said construction output, which makes up 6% of the British economy, fell 1.1% in the three months to the end of March — worse than its initial estimate of a 0.9% drop.

The weaker reading reflected a dismal March for construction output, which plunged 3.6% compared with February — the worst month-on-month figure since December 2012. Economists polled by Reuters had expected a 2.5% drop.