08th August 2013
Markit / CIPS survey points to continued construction industry growth
July’s Markit / CIPS survey of construction industry activity has indicated that the sector is continuing to buck national trends by experiencing steady growth.
The latest construction sector index stood at 57, up six points from the figure last released in June and significantly higher than the 50-point mark indicating the cut-off point for growth.
Residential construction continues to be the sector’s most active facet, with the Help to Buy scheme contributing to a growth in housing activity stretching back for six consecutive months.
Furthermore, construction industry growth broadened throughout July, with increased activity in commercial and civil engineering adding to the optimism engendered by the buoyant housing sector.
There are hopes that the ongoing expansion of the construction sector could help to reinvigorate the UK economy, improving growth figures above and beyond the 0.6% expansion we experienced over the second quarter of 2013.
‘It’s extremely encouraging to see the fortunes of the construction industry being restored once more’, said Integrity Software’s Managing Director Justin Moule.
‘Hopefully, UK construction firms will be able to take advantage of greater project availability and industry activity this year as a result of this continued sector growth.’
An inquiry into the payment practices of Britain’s businesses has revealed some unsettling results for the construction sector. Apparently, the construction industry suffers from a higher proportion of late paying clients than any other sector, with committee chairwoman Labour MP Debbie Abrahams accusing the industry of harbouring a ‘culture of late payments.’