Construction industry down but showing promise
The UK construction sector picked up last month, despite a downturn in consumer spending, according to a survey.
The sector saw the highest growth pace for six months in June, with residential construction slightly increasing after three months of decline.
The Chartered Institute of Purchasing and Supply (CIPS) said its construction purchasing managers' index rose to 55.8 last month, up from 52.6 in May.
CIPS' index registers 50 as the dividing line between growth and decline.
Roy Ayliffe director of professional practice at CIPS told Reuters: "Purchasing managers noted an improvement in conditions in the construction sector in June after a disappointing performance the previous month.
"Growth in new business was said to be the key driver behind this latest expansion, as levels of activity reached their highest in six months."
Housing activity also increased, with the sub-index rising to 51.2, breaking a three-month contraction in the sector.
Overall, 50 per cent of those surveyed expected activity to be higher a year from now, leaving the outlook for the sector hopeful.
© DeHavilland Information Services plc
The sector saw the highest growth pace for six months in June, with residential construction slightly increasing after three months of decline.
The Chartered Institute of Purchasing and Supply (CIPS) said its construction purchasing managers' index rose to 55.8 last month, up from 52.6 in May.
CIPS' index registers 50 as the dividing line between growth and decline.
Roy Ayliffe director of professional practice at CIPS told Reuters: "Purchasing managers noted an improvement in conditions in the construction sector in June after a disappointing performance the previous month.
"Growth in new business was said to be the key driver behind this latest expansion, as levels of activity reached their highest in six months."
Housing activity also increased, with the sub-index rising to 51.2, breaking a three-month contraction in the sector.
Overall, 50 per cent of those surveyed expected activity to be higher a year from now, leaving the outlook for the sector hopeful.
© DeHavilland Information Services plc<< Back to Construction and Power Tools News
