The Chartered Institute of Purchasing and Supply’s latest construction activity index rose slightly from 58.2 in December to 58.3 in January. Fifty indicates no change.
The steady three-month climb follows falls in the four months from July to October. Commercial construction recorded the strongest growth, with the housing sector also performing well. Civil engineering recorded only a slight expansion of workload compared with December.
The rise in activity led to firms increasing raw materials purchases, resulting in longer lead times for some products.
As a result, prices of goods and services rose during the month. Nearly 40% of respondents reported that average price levels had increased in January, with no respondents reporting falls.