UK construction shrinks for 22nd month
UK construction

The UK construction activity suffered contraction for the 22nd month in a row in December, showing the country's construction sector is still in the clutches of recession.

Both, the commercial and engineering sub sectors slipped in December. However, residential construction expanded for a consecutive fourth month in December.

New construction orders on the PMI measure plunged from 50.6 in November to 48.7 in December.

Speaking on the topic, CIPS' chief executive David Noble said, "December was another disappointing month for the UK construction sector."

But, the Chartered Institute of Purchasing & Supply/Markit Construction PMI index jumped from 47 in November to 47.1 in December, representing a slight improvement in the total construction activity.

It may be noted here that a reading of above 50 represents growth and reading below 50 represents contraction.

Construction companies are expecting recover over the coming year, mainly with regard to the housing sector.

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