Latest data released by Markit/CIPS - 6 October 2021
- Prior 55.2
UK construction activity growth eased further once again in September, with output volumes seen rising at its smallest extent in eight months. Supply and capacity constraints remain the biggest issue, also leading to a surge in cost inflation. Markit notes that:
"September data highlighted a severe loss of momentum for the construction sector as labour shortages and the supply chain crisis combined to disrupt activity on site.
"The volatile price and supply environment has started to hinder new business intakes as construction companies revised cost projections and some clients delayed decisions on contract awards. As a result, the latest survey data pointed to the worst month for order books since January's lockdown.
"Shortages of building materials and a lack of transport capacity led to another rapid increase in purchase prices during September. There was also a considerable decline in the availability of sub-contractors, with survey respondents citing shortages of bricklayers, drivers, groundworkers, joiners, plumbers and many other skilled trades. Measured overall, prices charged by sub-contractors increased at the fastest rate since the survey began in April 1997."
