Builders 'dismal' as output dives for first time in year

UK builders are looking “dismal” after output slumped for the first time in over a year, industry watchers warned on Tuesday.

The Chartered Institute for Procurement & Supply’s latest snapshot of activity, where a score over 50 signals growth, slid sharply to 48.1 in September.

This marks the construction industry’s first fall into contraction territory since the immediate aftermath of the Brexit vote.

The worst slump in civil engineering work for more than four years was largely to blame, although momentum also waned among housebuilders and commercial development, Cips added.

Respondents reported Brexit uncertainty overhanging spending decisions. Director Duncan Brock said “optimism was in short supply”.

He added: “A dismal picture of construction emerged this month as the sector showed signs of worsening business conditions across the board.”

Despite the figures the Bank of England has signalled it is ready for its first rate rise for a decade next month.