UK November building PMI 55.2 vs 53.four anticipated

• Prior 54.three

The soar final month was pushed by the strongest rise in business work for two-and-a-half years, as that helped to offset an extra decline in dwelling constructing exercise – which noticed its sharpest decline since June. Apart from that, new order progress additionally weakened to a five-month low whereas employment situations additionally eased additional with job creation seen at a three-month low. S&P World notes that:

“The development sector bucked the slowdown seen
elsewhere throughout the UK economic system in November,
in keeping with the most recent S&P World PMI survey. Complete
business exercise as soon as once more expanded at a strong tempo
and there was a transparent acceleration in progress
in comparison with that seen within the first half of 2024.

“Nevertheless, the restoration in building exercise
stays considerably lopsided. Strengthening demand
for business work and civil engineering tasks
contrasted with a sustained downturn in home constructing.
Business building exercise expanded on the
quickest tempo for two-and-a-half years in November, whereas
residential work declined on the steepest price since June.
Elevated borrowing prices and fragile consumer confidence
in the meantime acted as a brake on new order progress in
November, with the upturn in gross sales the slowest for 5
months.

“A lack of momentum for brand spanking new work, alongside issues
about rising employment prices, resulted in weaker
job creation and falling enterprise optimism throughout the
building sector. The diploma of optimistic sentiment
concerning year-ahead progress prospects dropped to the
lowest since October 2023. Many building firms
cited issues concerning the near-term UK financial outlook
and subsequent cutbacks to new tasks.”

This text was written by Justin Low at www.ubaidahsan.com.



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