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Financial News: UK Construction Activity Declines In February

UK Construction Activity Declines In February

03/04/2019 - 06:57:00 (RTTNews)

(RTTNews) - UK construction activity eased further in February to its weakest level for the first time in eleven months, survey data from IHS Markit showed on Monday.

The headline construction Purchasing Managers' Index, or PMI, fell to 49.5 in February from 50.6 in January. Economists had forecast a score of 50.5.

Any reading below 50 suggests a contraction in the sector.

The index has posted below the 50.0 no-change mark for the first time since the snow-related decline seen in March 2018.But the latest contraction was the weakest seen over one and half years, IHS Markit said.

Employment growth remained softer with fragile order books and a renewed decline in construction output.

Input buying fell for the first time since September 2017, while suppliers delivery times lengthened since August 2018.

Input cost inflation edged up since January, but at the second-lowest level since June 2016.

Several survey respondents noted that Brexit uncertainty had led to slowed decision making on commercial projects and also subdued client demand for the year.

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