Construction contraction continues as sentiment hits 20-month low

Construction continues to contract — with every metric in the Ulster Bank Construction Purchasing Managers’ Index indicating the sector’s dismal performance continues to deteriorate.

However, while the sentiment of those still engaged in the sector hit a 20-month low — with business confidence at its lowest since Dec 2010 as falling new orders weighed on sentiment — constructors still anticipate a rise in activity over the next 12 months, amid hopes of improving economic conditions.

As a result of the fall in confidence, firms have lowered their employment and purchasing activity further.