New contracts help construction growth

3 January 2007
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03 January 2007 | Antony Barton

The rate of total construction activity growth accelerated last month.

The CIPS/RBS Purchasing Managers' Index, where a reading above 50 indicates growth, recorded total construction activity at 57.5 in December, up from 54.8 the previous month.

Civil engineering activity expanded at the greatest rate for 37 months, at 56.1 up from 52.3 in November. Commercial activity grew from 54.6 to 58.1.

Employment levels in the sector increased for the sixth successive month, from 53.0 to 53.3.

Last month construction firms bought more than at any other time in the last three months, with the quantity of purchases rising to 55.2 from 51.1 in November. This reflected the increase in construction activity and higher volumes of new orders.


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