Boom in UK construction industry continues

Published: June 25th, 2014

Written by:

Construction in Britain experienced its slowest pace during May. However, according to economists there is a strong outlook in view of the house building boom.

The Markit/CIPS construction PMI, which measures the levels of building activity, declined from 60.8 to 60 in May. This reflected a slowdown in growth in commercial space. The figure was still above 50, which indicates contraction from expansion.

The Chief UK Economist at Berenberg, Rob Wood, said construction is still booming and experienced a recession due to the cutting of investment projects by the government and the crash in the housing market. However, low interest rates, increasing house prices and increased confidence is boosting the market. According to Wood, a growth boost is expected in the second quarter.

According to Tim Moore, a Senior Economist at Markit, the UK construction market is in its strongest expansion phase since 2007. Survey respondents cited another expected surge in new house building during May.

A sign of increased momentum among builders is the fact that employment in this sector has risen for 12 months in a row. However, the availability of subcontractors has fallen sharply.

Want to share your company’s latest updates, store openings, or partnerships?

Submit your press release or retail news to Malls.com and reach thousands of retail professionals worldwide.

Latest news

Inside the new US$575 million mall planned for Bangkok’s fast-growing northern district

Central Pattana unveils The Central, a new US$575m mall in Bangkok’s fast-growing northern district with a planned opening in late 2026.

Singles’ Day 2025 — What the World Is Buying on 11.11

Singles’ Day 2025 breaks new global records with $150B+ in sales. Discover the top categories, data insights, and retail trends shaping the world’s biggest shopping event—from Tmall to Amazon and Shopee.