A 15% fall in new construction orders was recorded in the final quarter of 2011, according to the Office for National Statistics.
The Construction Products Association (CPA) described the figures, which compare to the corresponding period in 2010, as extremely concerning.
New construction orders declined by 14% for the full year.
“It is clear that the government’s cuts are having an adverse impact on the industry with new orders in the public sector falling by one third in 2011,” said CPA economics director Noble Francis.
“On the positive side, it was good to see a rise in orders for private housing, industrial and infrastructure.”
