Strong construction output growth in October but caution remains

Latest News Wed, Mar 23, 2016 9:17 AM

Strong construction output growth in October but caution remains

The UK's construction sector grew across all three sectors in October - but only commercial building increased the pace of growth compared with September.

Markit PMI for the industry registered 58.8 in October, down from 59.9 in September but comfortably above the contraction threshold. This marks two-and-a-half years of sustained output growth.

While the pace of expansion was weaker than in 2014, the latest survey was "comfortably" ahead of the pre-election low experienced in April of this year.

Housing activity dropped back from September's 12-month high, while civil engineering had the weakest growth since May. However commercial building work increased at the sharpest rate in eight months.

Companies in the sector were "highly upbeat about their prospects for the next 12 months", with 59 per cent predicting a rise in business activity and only seven per cent expecting a decline.

Tim Moore, senior economist at Markit and author of the survey, said: “October’s survey indicates that the UK construction sector remains firmly in expansion mode, although commercial building work was the only category to experience faster growth than in September.

“Another relatively buoyant construction PMI reading indicates that the sector remains in rude health. Rather than acting as a drag on the economy, as suggested by recent GDP estimates, the sector is continuing to act as an important driving force behind the ongoing UK economic upturn."

Featured News

Specification news
Trailblazing partnership launches sponsorship of the...

A ground-breaking three-year partnership supports Service leavers and veterans into...

Read More >>

Specification news
EJOT UK extends specifier support with NBS Source...

Leading construction fastening solutions manufacturer EJOT UK has strengthened its...

Read More >>

BUILDING PRODUCT LIBRARY - LATEST BROCHURES

ACO Blue Roof Guide – Vol 2 Brochure

ACO Blue Roof Guide...
By ACO Building Drainag...

Download Now >>

Stannah Commercial Brochure Brochure

Stannah Commercial B...
By Stannah Group

Download Now >>

Stannah Midilift CLS Brochure

Stannah Midilift CLS
By Stannah Group

Download Now >>

BUILDING PRODUCT DIRECTORY - LATEST PRODUCTS

MxPro 5
MxPro 5

OverviewThe next-generation MxPro 5 is now available. Building on its exceptional performance,...

Read More >>

SignetFire
SignetFire

Why SignetFire?Are you looking for replacement fire doorsets for your latest project?We’re...

Read More >>

Roofing Collections
Roofing Collections

Our carefully curated range of handmade roofing tiles and slates is specifically designed to...

Read More >>

CONSTRUCTION VIDEOS - LATEST VIDEOS

The UK's No 1 Pool, Spa and Wellness Show – SPATEX 30 secs
The UK's No 1 Pool, Spa and Wellness Show – SPATEX 30 secs

And there’s a chance to do it all over again when the BIG 30th anniversary edition of SPATEX 2026...

Watch Now >>

Reclaimed Brick Company Leah's Yard Square Sheffield
Reclaimed Brick Company Leah's Yard Square Sheffield

Reclaimed Brick Company is part of Leah's Yard Square in Sheffield, a historic site revitalised for...

Watch Now >>

Day in the life of a Reclamation Yard
Day in the life of a Reclamation Yard

A typical day at a reclamation yard is filled with activity and discovery. Early mornings often...

Watch Now >>