Supply chain disruption and staff shortages put further pressure on construction costs last month.
The latest IHP Markit/CIPS UK construction purchasing managers’ index fell to an eight-month low of 52.6 in September. This was not only down on August’s 55.2, but also below economists’ forecasts of 54.
Activity cooled across the housebuilding, commercial and civil engineering sectors, with the latter reporting the sharpest slowdown, from 54.8 in August to 51.
At 52.8, housebuilding expanded at its weakest pace since June last year. The commercial segment was the best-performing category at 53.6.
The downturn accelerated as supply shortages led to rapid cost increases. The vast majority of businesses — 78% — said that input prices rose during the month.
