UK construction output continued to rise, driven by the fastest increase in new work for seven months.
- The headline S&P Global Construction Purchasing Managers’ Index (PMI) posted 59.1 in March, unchanged from February and way above the 50.0 mark that separates expansion from contraction.
- Commercial work was the best-performing unit in March, with projects restarting amid the rollback of Covid-19 pandemic restrictions.
- Meanwhile, the recoveries in civil engineering and residential work lost momentum in March. Civil engineering reported the slowest expansion of the third broad category monitored by the survey.
- Total new orders grew at a robust and accelerated rate in March, with the latest rise the strongest since August 2021. Construction firms cited improving tender opportunities and resilient customer demand.
Capacity constraints, lack of haulage availability, and continuous logistics challenges led to another sharp decline in supplier performance. Nearly 33% of the survey reported longer lead times for construction products and materials.
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Source: S&P Global