Disappointing construction update dumps Ftse into the red

The London market was dragged into the red after a gloomy economic update from Britain’s construction industry dealt a punishing blow to housebuilders.

The Ftse 100 was 55.6 points lower at 6,522.3 after Charles Church owner Persimmon plummeted more than 6% following the update, which revealed the construction sector experienced its worst month for seven years during the run-up to the Brexit vote.

The closely watched Markit/CIPS construction purchasing managers’ index recorded a worse-than-expected 46.0 in June, down from 51.2 in May and well below economist expectations of 50.6.