Rising builder confidence despite surprise jump in construction inflation 

BNP Paribas index: Building sector contraction is slowing and order books and materials purchase have picked up markedly

The proportion of construction firms saying they expect to be busier in 12 months’ time is at its highest level in more than a year, according to the BNP Paribas Construction Activity Index. Picture: Denis Minihane

The downturn across Ireland's construction sector stabilised in February on the back of growth in new orders despite continuing difficulties within the housing sector and a surprise jump in inflation.

The proportion of construction companies saying that they expect to be busier in 12 months’ time is at its highest level in more than a year as builders registered strong employment growth and the first uptick in input buying since May, according to the BNP Paribas Construction Activity Index.