Business conditions in the UK construction sector deteriorated again during November, said Markit/CIPS, with output falling for the third time in the past four months. November also saw the steepest new orders decline for just over three and a half years. This lack of new business to replace completed contracts, coming so late in the year, has contributed to a marked drop in confidence regarding the outlook for the next 12 months.
As a result, jobs were cut at the fastest rates in almost two years in November. Even adjusting for seasonal factors, the Markit/CIPS UK Construction Purchasing Managers’ Index® (PMI®) posted 49.3 in November, down from 50.9 in the previous month to reach its lowest level since August.
Other reasons behind the lower levels of construction activity were reductions in house building and commercial activity during November. Residential building has now dropped consistently for six consecutive months running.
On the brighter side, civil engineering activity increased again, and at the most marked pace for seven months.
Adapted from press release by Jack Davidson.
Read the article online at: https://www.worldcement.com/europe-cis/04122012/uk_construction_sector_cofidence_decline_775/