The UK construction sector continued to expand in November as new orders grew the most since late 2014, survey data from IHS Markit showed on Friday.
The IHS Markit/Chartered Institute of Procurement & Supply construction Purchasing Managers’ Index rose unexpectedly to 54.7 in November from 53.1 in October.
The reading was forecast to fall to 52.0. The sector has expanded for the sixth straight month.
All three broad categories of activity reported higher output in November. Construction companies said house building was the best-performing area, despite the rate of growth easing since October.
Civil engineering returned to growth in November, while commercial work increased only marginally and at the slowest rate for six months.
New business volumes increased at the quickest pace since October 2014 driven by a recovery in tender opportunities and improving confidence among clients.
Rising demand placed additional pressure on supply chains. Input costs rose at the steepest rate since April 2019.
Employment remained a weak spot, but the latest fall in staffing numbers was the slowest since February. Firms resorted to job cuts amid efforts to reduce overheads.
Further, the survey showed that business optimism was the strongest since January.
The material has been provided by InstaForex Company – www.instaforex.com