• Prior 47.9

That’s the sixth month running that total activity has fallen but at least at a lesser pace in June. That being said, new orders is an issue as it continues to decline at a quicker pace on the month. That is leading business optimism to dwindle further to its lowest in two-and-a-half years. S&P Global notes that:

“June data highlighted a sustained downturn in UK construction output, albeit at the slowest pace in six months.

“Shrinking workloads in the commercial and civil engineering segments weighed on total industry activity. Commercial activity fell at the sharpest rate in just over five years.

“On a brighter note, house building was the bestperforming area of the construction sector. Higher levels of residential work were recorded for the first time since September 2024 amid some reports of more stable demand conditions.

“The forward-looking survey indicators were weaker than in May. Total new orders fell at a faster pace as many construction companies signalled reduced overall workloads due to unfavourable domestic economic conditions and fragile confidence among clients.

“At the same time, business activity expectations dipped to a two-and-a-half-year low in June. Survey respondents widely cited fewer tender opportunities, rising competition for new work and a projected headwind from subdued business investment during the year ahead.”

This article was written by Justin Low at www.forexlive.com.