Construction sector confidence levels dip

Posted: 05 Jul 2011 12:05:03 GMT

Confidence in the construction industry has fallen from 54 points to 53.6.

Confidence in the UK's construction industry has suffered a dip of late.

According to the Markit/Chartered Institute of Purchasing and Supply (CIPS) Managers' Index, the level fell from 54 points to 53.6.

A slowdown in business growth caused by a lower rise in activity has been blamed for the downturn, while employment levels are falling at their quickest rate since January.

Chief executive of CIPS David Noble cited concern regarding the overall health of the economy as a primary reason for optimism being stifled.

He observed: "A solid reduction in employment indicated that firms are meticulously managing their costs and prospects for any future expansions in output growth look moderate at best with confidence weakening."

Sliding house prices meant it was unsurprising that residential construction was recorded in May, Mr Noble added.

The CIPS was established in 1932 and was awarded a Royal Charter for its status as a centre of excellence in its profession in 1992.
 

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