The Markit/CIPS Purchasing Managers’ Index® (PMI®) for the construction sector shows continuing growth.
Residential construction remains the strongest performing area of activity with civil engineering and commercial activity also recording robust growth. PMI posted at 59.4, up from 58.9.
Commenting on the report,
David Noble, Chief Executive Officer at the Chartered Institute of Purchasing & Supply said:
“The future is looking bright for the UK construction industry as it soars into the final quarter with its strongest performance in over six years, boosted by a strengthening surge in activity broadening out across all sectors. Housing remains the key driver of the ever-strengthening rebound in October, but with civil engineering and commercial works continuing to bolster their expansion. Particularly impressive is the commercial sector, which registered the fastest rate of growth since April 2012.
“The on-going growth of new business levels, climbing confidence and positive market conditions has resulted in the steepest rise in staffing levels for six years. Caution on employment experienced in the first half of 2013 has now been replaced by rising expectations and a strong belief that growth can be sustained in the year to come.
“With demand picking up, delivery times are lengthening but there is optimism this will lead to a more bullish approach from suppliers, who up until now have been cautious on stock levels. They now have the platform to level out the continuing squeeze on stock availability and operating capacity.”
Extract taken from CIPS News.