Reaction to Markit/CIPS UK Construction PMI for December
The Markit/CIPS UK Construction PMI for December has been released and shows that the industry enjoyed a strong performance in the final month of 2015.
The UK construction PMI rose to 57.8, up from November’s seven month low of 55.3, well above the 50.0 threshold for growth.
Housing activity saw an increase activity that although not as high as previous peak months was still welcome following the disappointment of November’s figures, which marked a 29-month low.
The strongest performing sector was commercial construction, seeing the sharpest upturn since October 2014, with a strong demand for commercial projects being reported by the survey’s respondents.
Just over half of the survey panel expect to see an increase in business activity in the coming year, with only seven per cent believing the industry would see a reduction.
Business confidence was reinforced by larger client budgets, improving economic conditions and a strong pipeline of new projects.
Peter Vinden, the Managing Director of The Vinden Partnership – a leading multi-disciplinary consultant company to the built environment commented: “The construction industry’s strong performance in December was a great way to end 2015.
“The number of new housing projects is also welcome news and I hope to see this sector continue to perform well over the next 12 months.
“If the level of optimism around the industry is anything to go by we should see 2016 bring more growth and opportunities that will see construction play a significant part in driving the success of the UK economy.”