PwC comments on the UK Construction PMI - July 2024

Paul Sloman, Engineering and Construction Sector Leader at PwC UK said:

“This month’s PMI reading of 55.3 is a signal of recovery, market confidence and growth for the sector. New business is now expanding at its strongest pace in over two years, employment levels have risen for a third consecutive month and purchasing activity is at levels not seen in almost two years.

“The sector’s challenges in skills shortages, training and recruitment are well-documented, so it is encouraging to see employment growing at its fastest pace in a year, owing to the continued agility and adaptability of construction businesses. 

“Housing projects also returned to growth, which is no surprise given the prominent focus displayed by the new Labour government in reinstating annual housing targets and seeking to ease the planning system. Overall, the sector seems to be preparing itself for a busy second half of the year, with the PMI reporting over half of businesses forecast a rise in activity over the next 12 months.”