The UK construction sector displayed mixed results across different segments and regions in May 2026, according to data from Construction News in association with Glenigan.
Residential Sector Slows
The residential sector saw a 7 percent year-on-year decline in project starts. Detailed planning approvals also fell by 4 percent compared to the previous year.
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Main contract awards in the residential segment remained flat year-on-year.
Hotel and Leisure Boom
In contrast, the hotel and leisure sector recorded a 72 percent surge in detailed planning approvals. Project starts increased by 4 percent annually.
However, main contract awards in this sector dropped by 38 percent year-on-year.
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Regional Disparities
Scotland's project starts rose slightly compared to the preceding three months but fell year-on-year to £1.41 billion.
Detailed planning approvals and main contract awards both declined in Scotland.
The South West region experienced a severe contraction, with project starts plunging 66 percent compared to the previous three months to £872 million.
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Despite this, its detailed planning approvals saw quarterly and annual increases.
