UK construction sector activity remains subdued, with the value of underlying project starts falling in the three months to the end of July, according to Glenigan’s August Construction Index.
The index said the value of underlying work starting on site, covering projects worth £100 million or less, declined 11% against the preceding three months and was 29% below the same period last year. The figures are seasonally adjusted.
Residential construction starts fell 25% compared with the previous three months and were 46% down year on year. Non-residential project starts weakened by 4% quarter on quarter and stood 11% lower than a year earlier.
Civils work provided a partial contrast, increasing 34% against the preceding three months, although it remained 15% below the previous year’s level.
Glenigan said the sector was struggling amid international and domestic socioeconomic pressures. Its August index covers the three months to the end of July 2026 and provides year-on-year construction data for built environment professionals.
Separate construction activity data reported by Construction News, with Glenigan as its project data partner, described a mixed latest period. It said detailed planning approvals rose 13% on the preceding three months, helped by a 39% increase in major approvals, but main contract awards fell 43% and project starts declined 8%. Year on year, detailed planning approvals were down 20%, main contract awards fell 6% and project starts decreased 8%.