Markit/CIPS UK Construction PMI® – August 2015

The Markit/CIPS UK Construction PMI^® has stated that the UK construction sector remained in recovery mode during August, with business activity and employment levels both expanding at a strong pace. There were indications that the strains on raw material availability have started to subside, and survey respondents noted that rising levels of supplier capacity, alongside lower fuel and energy costs, had helped restrain overall input price inflation in August, which eased to a four-month low.

Senior Economist at Markit and author of the Markit/CIPS Construction PMI, Tim Moore, commented: “UK construction companies remained on a reasonably strong growth footing in August, helped by a sustained recovery in both residential and commercial building activity. Meanwhile, there was another loss of momentum for civil engineering, which brought output growth within this sub-sector further below the multi-year highs seen in 2014.

“The construction sector maintained its position as a strong engine of job creation in August, as permanent staff numbers and sub-contractor demand both picked up over the month. However, the surge in construction workloads over the past two-and-a-half years has created substantial skill shortages across the sector, with survey respondents reporting on-going staff recruitment difficulties this summer.

“There was some encouraging news in terms of construction materials availability, as firms reported the lowest pressure on delivery times for over three years, helped by rising inventories and a rebound in supplier capacity.”

Edited from press release by Angharad Lock

Read the article online at: https://www.worldcement.com/the-americas/03092015/markit-cips-uk-construction-pmi-483/