The UK construction industry expanded at its slowest rate since February 1999 during October 2001, despite rises in orders during the third quarter of the year.
The Chartered Institute of Purchasing and Supply reported a fall in headline activity between September and October from 54·2 to 52·5.

Orders in the third quarter rose by 11% compared to the previous quarter, and were 6% up compared to the previous year. Infrastructure, private commercial and private housing sectors accounted for the rises, offsetting falls in public housing, public non-housing, and the private industrial sector.

Infrastructure orders rose 37% from the previous quarter and were 14% higher than the same period in 2000. A rise of 9% was recorded in this sector in the first three quarters of 2001 compared to the previous 12 month period.

The four year rise in building tender prices is expected to halt. Prices have risen by 6·6% over the past year, but this is expected to slow, with a rise of 0-3% predicted in the next year.

Davis Langdon & Everest's latest Tender Price Forecast predicts that a recovery may lead to price rises of 3-5% in the year to third quarter 2003.

Source

Electrical and Mechanical Contractor