UK construction expansion slows in June – PMI

The S&P Global UK Construction Purchasing Managers’ Index (PMI) indicated continued growth in the UK construction sector, registering 52.2 in June, down from 54.7 in May.

Despite the decline, the index stayed above the 50.0 threshold for the fourth consecutive month, signalling ongoing expansion. The commercial activity sector led this growth, although its pace slowed from May’s two-year high.

Civil engineering also saw a modest rise in output, while housing was the only sector to record a decline, following a brief increase in May for the first time in 19 months.

New contracts contributed to the overall expansion in June, with new orders increasing for the fifth consecutive month. However, the growth rate for new business slowed to the lowest level since February.

Some industry participants cited election-related uncertainty as a factor impacting new work inflows.