UK house prices: Construction sector slows as house building rises at slowest pace since 2013
A gauge of activity in the construction sector stooped to a 10-month low this morning as survey figures revealed Britain's house building recovery may have hit the brakes.
Markit's construction purchasing managers' index fell to a score of 54.2 in February from the previous month's 55. Scores above 50 indicate growth but lower scores imply a slower rate of expansion.
Builders reported the slowest rise in residential construction since October 2013 while commercial building also moderated. Survey respondents said the slowdown was due to "less favourable demand conditions and greater uncertainty about the economic outlook."
"The housing sector, which once led the way with a robust performance, offered a poor show – the weakest growth for just over two-and-a-half years," said David Noble, chief executive at the Chartered Institute of Procurement and Supply, which helps compile the survey.
"The next few months will be critical to the understanding of whether this dampened optimism was justified and whether there are still more serious issues to be unearthed."
