Phoebus reaction to GDP and construction figures

13 March 2026

Richard Pike, sales and marketing director at Phoebus Software, commented on this morning’s GDP and construction figures from the ONS.

“The UK economy performed worse than expected in January. The three-monthly figure shows growth of 0.2% boosted by production output, but growth was flat on a monthly basis. Worryingly things are only going to get worse as a result of the Iran conflict. This will have a significant impact on the economy, at least in the short-term, so it’s likely that growth will be affected over the coming months.

“The mortgage market is in turmoil at the moment, with products being pulled daily and rates rising to their highest since last summer. While some borrowers will be rushing to lock in rates, others will be putting their plans on hold.

“Construction output fell yet again and will be affected even further by the fallout from the war. With housing supply strangled and borrowing becoming more expensive, this doesn’t bode well for the market in the coming months. We can only hope that this conflict is resolved sooner rather than later.”