Growth in the UK construction sector slowed in June, as uncertainty from Brexit and the general election continues to impact on the economy.
Markit’s construction PMI figure, released on Tuesday, fell to 54.8 in June from from 56.0 in May. Any figure above 50.0 represents growth.
A survey by IHS Markit showed the result sparked “renewed caution”, and caused sterling to drop to a a six-day low. Sterling is currently trading down 0.15 percent against the dollar, but up 0.2 percent against the Euro.
Mike Chappell, global corporates managing director for construction at Lloyds Bank Commercial Banking, commented:
“The headwinds prompted by the EU referendum a year ago continue to challenge the sector. Input price inflation is still an issue and there remain concerns about how the UK’s exit from the EU will affect construction firms, given their reliance on European labour.”
