The construction industry is said to be in complete disbelief after the Office for National Statistics said that business in this sector has contracted by 4.7% in the first quarter of 2011. This figure was later revised to 4% but this has in no way has alleviated any confusion concerning this matter.
Spokesmen within the construction industry have stated that the data does not match up with anecdotal evidence and some bosses are concerned about how the ONS collects its data on orders, with companies asked to submit orders about six weeks earlier than before the ONS changed its methods last year. While no one is under the illusion that the industry is booming, these latest statistics have left people scratching their heads.
The Construction Products Association says 48pc of its members enjoyed a rise of sales in the opening three months of 2011, compared to just 14pc in the final quarter of 2010. A spokesman for the CPA said: “The latest figures from ONS indicate that construction output fell by 4pc in Q1, but this conflicts with our evidence from contractors, specialists and construction product manufacturers as shown in our latest Construction Trade Survey that both workloads and sales rose in the first quarter of 2011.
Many have also been quick to say that the mild and dry unseasonal weather coupled with a rise in sales for many companies clearly points to an improvement in the industry rather than a contraction.