Growth in Britain's construction sector picked up in June to its fastest pace in six months with residential construction growing modestly after three straight months of contraction, a survey showed this morning.
The sudden pick-up in activity followed the weakest month for the construction sector in three and a half years.
The Chartered Institute of Purchasing and Supply (CIPS) said its construction purchasing managers' index rose to 55.8 in June from 52.6 in May. 50 marks the dividing line between growth and contraction.
'Growth in new business was said to be the key driver behind this latest expansion, as levels of activity reached their highest in six months,' said Roy Ayliffe, director of professional practice at CIPS. The new orders sub-index rose sharply to 58.7 in June from 55.1 in May.
The housing activity sub-index rose to 51.2, breaking three straight months of contraction in the sector, although the improvement was modest given that less than 18% of respondents reported expansion.
