The UK construction industry returned to growth in March after contracting for six months, according to a closely watched survey.
S&P Global’s construction purchasing managers’ index rose to 50.2 from 49.7 in February. This is the first time the index has risen above 50, the level that separates expansion from contraction, since August last year.
Civil engineering was the best performing segment, while housebuilding and commercial activity were broadly unchanged from February, S&P Global said.
The March survey recorded the strongest increase in new orders for the industry since May 2023, it said, with survey respondents citing “a turnaround in sales pipelines and greater new business inquiries linked to the improving economic outlook and more stable financial conditions”.