Construction buyers witnessed a rebound in output last month, as the industry recovered some of the ground lost during a difficult June.
The assessment follows the publication of the latest Markit/Chartered Institute of Purchasing & Supply (CIPS) Construction Purchasing Managers’ Index.
A key indicator of market activity, a reading of 50.9 was registered for June, up on the 48.2 reported for July. The figure provided some room for optimism, with any number over 50 on the sentiment survey reflecting an increase in output.
CIPS chief executive officer David Noble attributed the modest growth to a boost in commercial sector work, though some of the other figures remained concerning.
Housing and civil engineering continued to struggle for instance and the survey also indicated that new work suffered its second-fastest drop off in two-and-a-half years.
“There was some progress, with a slight boost in performance, but the external operating environment remains depressed,” Mr Noble said.
“Worryingly, the sharp drop in new business means there is little chance of the sector rebounding quickly.”
The CIPS chief was quick to note that increased employment and retention of subcontractors provided some plus points.
Author: Editor Gavin Pearson (firstname.lastname@example.org or 0207 202 0255)