(Sharecast News) - The downturn in the UK construction sector eased slightly in June, according to a survey released on Monday.
The S&P Global UK construction purchasing managers' index ticked up to 38.4 from a six-year low of 38.2 in May. However, it remained well below the 50.0 mark that separates contraction from expansion and construction output has now fallen every month since January 2025.

The latest decline was the second-fastest since the start of the pandemic, S&P Global said.

Tim Moore, economics director at S&P Global Market Intelligence, said: "The downturn in UK construction output lost some intensity in June amid a softer reduction in commercial building work. House building and civil engineering activity nonetheless registered sharper declines than in May, with the latter seeing its weakest performance since the start of the pandemic.

"New work decreased to the least marked extent since March, despite widespread reports of challenging market conditions. Construction companies commented on headwinds from subdued housing sales, elevated interest rates and squeezed consumer finances, alongside cutbacks to business investment plans. Some firms noted delays with infrastructure work and fewer public sector tender opportunities, but energy markets were cited as an area of positivity."

Moore said supply chain challenges appear to have receded, with vendor delivery times lengthening to the smallest degree since March. Construction companies also reported a slowdown in input price inflation from the near four-year peak seen in May.

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