UK Construction Industry Shrinks as Housebuilding Slump Deepens
- PMI index for sector falls below 50 for first time in 5 months
- Developers are pulling projects on weaker housing outlook
UK residential building work dropped at a pace last seen during the pandemic.
Photographer: Chris Ratcliffe/BloombergThis article is for subscribers only.
The UK construction industry unexpectedly shrank in June as the slump in housebuilding deepened with a further rise in borrowing costs.
S&P Global said its overall PMI index for the sector dropped to 48.9 from 51.6 in May, below the neutral 50 for the first time in five months. The reading was far worse than the 51 economists had forecast.