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UK construction sector remains under pressure - PMI

By Abigail Townsend

Date: Wednesday 07 May 2025

UK construction sector remains under pressure - PMI

(Sharecast News) - The UK's construction sector continued to struggle in April, a closely-watched survey showed on Wednesday, although the decline was not as sharp as feared.
The S&P Global UK construction PMI was 46.6 last month, down on March's 46.4 but ahead of analyst expectations for a further fall, to 45.7.

A reading below 50.0 indicates contraction, while one above it suggests growth.

Respondents said rising business uncertainty meant decisions on new projects were being delayed, leading to further declines in total order books and increased job losses.

The decline in output was, however, the slowest rate for three months, boosted by slower reductions in residential building work.

The sector was the best-performing category, with a PMI of 47.2.

In contrast, civil engineering was the weakest, at 43.1, while commercial work decreased for the fourth consecutive month at 45.5, the fastest pace of decline since May 2020.

Tim Moore, economics director at S&P Global Market Intelligence, said: "UK construction companies have endured a bumpy ride since the start of the year, as domestic economic headwinds and hesitancy among clients led to a lack of new work to replace completed contracts."

However, looking forward Moore said there had been a slight improvement in business activity expectations for the year ahead, with respondents citing a potential turnaround in the residential sector.

The data were collected from a panel of around 150 construction companies between 9 and 29 April.

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