The construction sector unexpectedly bounced back in September, experiencing growth following months of decline.
Construction PMI read 52.3 in September, up from 49.2 in August and the first indication of growth in the sector since June.
Property developer Redrow’s chief executive John Tutte says the growth is a “step in the right direction” adding that the positive news is bolstered by the government’s announcement yesterday that it will invest in the building of more houses.
“Any government policy that has the potential to continue to accelerate housebuilding is very welcome but, as ever, the devil is in the detail and we are watching closely to see how this unfolds in the run up to the Autumn Statement,” says Tutte.
The PMI survey is produced by IHS Markit, which said that activity increased in all areas of construction, but particularly in residential housebuilding.