THE CONSTRUCTION SECTOR experienced a contraction in activity in January after stabilising in the months before, new data released today shows.
Total construction activity fell to 46.4 in January from a reading of 49.9 at the end of 2011 – the sharpest fall in three months, according to the Ulster Bank Construction Purchasing Managers’ Index. A reading above 50 indicates growth.
Job cuts, weak client confidence and shaky economic conditions are all thought to have contributed to the fall in activity.
Housing activity fell from 52.3 in December to 47.2Â in January, and civil engineering fell from 42.9 to 37.7 during the same period. Employment in the sector continues to fall – having done so since May 2007.
However, signs of recovery in commercial property have been observed at the beginning of this year, with an increase in activity to 51.3 from 49.8 in January.
Read:Â Four companies went out of business each day in January – report>
Just click Like.