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impact of COVID-19 on construction 2020.

  • Monthly construction output growth slowed to 3.0% in August 2020, suggested to be the results of adjustments to new working measures. 
  • The level of construction output in August 2020 remains 10.8% below the February 2020 level.
  • Construction output increased by 17.6% in July 2020, from the initial lockdown drop.
  • Construction output fell by 10.6% in the three months to July 2020, compared to the previous three month period.
  • New work decreased by 9.7% in the three months to July 2020. Infrastructure grew by 6.0%.

Report statistics based on latest ONS update from a bi-monthly cycle.

Anecdotal evidence from responders to both BICS and the MBS suggested continued increase in activity across the construction sector. However, health and safety measures such as social distancing, where businesses are working on premises and sites, have meant that the capacity and level of work are still not at the same level experienced prior to the restrictions imposed as a result of the coronavirus pandemic.

- ONS.GOV, October 2020 report

infrastructure surpasses february 2020 figures.

Despite strong monthly growth in the industry in 2020 post-pandemic launch, overall output remains substantially lower than pre-covid months. The single outlier is Infrastructure, the only industry to recover greater than pre-covid output figures. 

Infrastructure in 2020 accepts the boom in support for large scale projects such as HS2 and governmental commitment to build, build, build to invest in the UK economy. As the table explains, across the board all sectors have suffered a drop in output from the beginning of the year as we look back on July 2020. With a long road to recovery still ahead, steps are being made in the right direction as we face 2021 and continue the newways of working.

business impact of coronavirus

*10 August to 23 August 2020. Out of 5259 businesses surveyed. 

When considering employment size, of businesses not permanently ceased trading:

  • 11% of the workforce were on partial or furlough leave.
  • 36% of the workforce were working remotely
  • 49% of the workforce were working at their normal place of work.

The arts, entertainment and recreation industry had the highest proportion of their workforce on partial leave or on furlough leave under the terms of the UK Government's Coronavirus Job Retention Scheme (CJRS), at 41%. This was followed by the accommodation and food service activities industry, and the administrative and support service activities industry, at 29% and 18% respectively.