IN Brief:
- Glenigan says work starting on site fell 17% against Q4 and remained 18% below 2025 levels.
- Residential starts dropped 13% on the quarter, while civils fell 37%.
- London remained the strongest regional market, but most regions moved lower into spring.
Glenigan’s latest Construction Index points to another weak quarter for UK project starts, with residential, non-residential and civils all lower on a seasonally adjusted basis in the three months to the end of March.
Overall work starting on site fell 17% against the previous quarter and remained 18% below 2025 levels. Residential activity continued to contract, slipping 13% against the preceding three months and 30% year on year, while non-residential starts fell 15% quarter on quarter and 5% against 2025. Civils recorded the sharpest deterioration, dropping 37% against Q4 and 34% against the previous year.
Offices were the main exception. Glenigan said office project-starts rose 37% against the previous quarter and stood 67% above 2025 levels, helped by the £50m 105 Old Broad Street development in the City of London. Regionally, London was again the standout performer, up 26% on the quarter and 69% year on year, while the South West, West Midlands and South East all posted steep declines.
The latest index leaves the market entering Q2 with little breadth in recovery. Housing, industrial and civils remain subdued, and although selected office work is still moving, the wider pipeline continues to soften.
