UK construction sector growth slowed in December to its weakest pace in three months amid Brexit uncertainty, as expansion in the commercial property and housebuilding sub-sectors cooled, a survey shows.
The Chartered Institute of Procurement & Supply’s survey shows activity in the commercial property construction sector increased in December at its weakest pace since May last year.
However, activity in the civil engineering sub-sector grew at its strongest pace for more than one-and-a-half years.
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CIPS’s construction activity index fell from 53.4 in November to 52.8 in December on a seasonally adjusted basis to signal slowing growth.
The 50 mark is deemed to separate growth from contraction.
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Duncan Brock, group director at CIPS, said: “With a slight rise in new orders and a softening in overall activity growth, firms continued to be impacted by Brexit-related uncertainty and reluctance by clients to place orders especially for commercial projects.”
Tim Moore, economics associate director at IHS Markit, said: “Subdued domestic economic conditions and an intense headwind from political uncertainty resulted in the weakest upturn in commercial work for seven months.”
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