02 July 2008 | Jake Kanter
Activity in the construction industry fell quicker than ever before in June, hitting its lowest point in 11 years.
According to the latest CIPS/Markit Purchasing Managers' Index for construction, where a figure below 50 represents contraction, activity in the sector recorded 38.8 in June. It marks the second consecutive record low after the industry recorded 43.9 in May.
Housing activity fell dramatically, registering 25.6 compared with the previous month's figure of 32.7. Commercial activity also contracted to 41.1, down from 43.6 in May. Civil engineering activity experienced its fastest fall since the survey began in April 1997. It fell from 52.5 in May to 40 in June.
There was also a reduction in new orders, which recorded 43.5 in June, compared with 45.9 the month before. Staff levels registered 47.8, a fall from May's figure of 50.2, making it employment's lowest figure in 24 months.
Input prices continued to soar, reaching another record high of 81.5. Prices registered 72.6 in May.
* Further coverage of PMI reports is available at http://www.supplymanagement.com/pmi