House building activity grows sharply

House building activity posted a further significant increase amid a recruitment boom across the industry, a monthly survey has shown, which will lift hopes that builders are finally responding to the huge shortages of new homes.

The Ulster bank construction purchasing managers’ index (PMI) showed activity in house building climbed to 63.3 in February from 59.1 in January, where any reading over 50 represents an expansion in activity.

The housing activity reading was much higher than the other two major sub-components of the survey, commercial activity and civil engineering.