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UK Construction PMI Falls to 52.1 in September

Published 10/02/2018, 04:31 AM
The UK construction sector fell in September.

Investing.com - Activity in the UK construction sector slowed to its weakest output in six months in September, according to a closely watched business survey released on Tuesday.

Research firm Markit said its construction purchasing managers’ index fell to 52.1 in September, compared to forecasts for a reading of 52.8.

The prior month’s reading was 52.9.

Output was softer in September, said Tim Moore, associate director at IHS Markit.

"A lack of new work to replace completed projects meant that civil engineering saw an overall decline in activity for the second month running and remained the main laggard," he said.

While new job orders and rising demand lead to job creations last month, increasing uncertainty over Brexit weighed on companies.

"Construction companies continued to note that political uncertainty acted a key drag on decision making, with Brexit worries encouraging a wait-and-see approach to spending among clients. The main areas reported as likely to see a boost in the coming year were construction work related to large-scale energy and transport projects," Moore said.

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