A survey has shown that business conditions in the construction sector deteriorated sharply last month.
The Ulster Bank Construction Purchasing Managers' Index recorded 34.2 in September, compared with 38.8 in August. This ended three successive rises in the index and was the worst figure since May. Any figure below 50 means activity fell.
A breakdown shows that the housing part of the index slipped back from 34.6 in August to 33.8, while there were even bigger falls in the other two categories. Commercial activity dropped from 39.8 to 34.9, while civil engineering fell from 35.5 to 31.3.
The employment part of the index fell at its fastest rate since May, while new business also fell again. But Ulster Bank economist Simon Barry said modest optimism was recorded among builders, with the confidence index above the 50 mark for the fourth month running, hitting its highest level since February 2008.
'Survey respondents continue to believe that the construction environment will be improving as they look 12 months ahead,' he said.
