Construction confidence lowest in 10 years

Confidence in UK construction is at its lowest in almost 10 years, according to the Construction Purchasing Managers’ Index.

The index remained below 50.0 for the second consecutive month in April, indicating negative growth. The index edged down from 47.2 in March to 46.1.

A reduction in the levels of activity and new orders has seen the faith in the industry plunge to its lowest levels since October 1998. Optimism in sector growth over the coming year dropped to 60.1.

Weak economic conditions, especially in the slowing housing market, and diminished tendering opportunities are said to be responsible for the fall.

All three sectors of the industry - housing, commercial construction and civil engineering - reported falling activity last month.