House-building 'at A Standstill'

[libitina]

House-building 'at a standstill'

Growth in house-building slowed almost to a standstill last month after a brief period of expansion, a survey shows.

The increase in activity in the house-building industry in September was "negligible" after three months of growth, the Chartered Institute of Purchasing & Supply (CIPS) said.

But there was continued growth across the construction industry as a whole for the 46th consecutive month.

CIPS' Housing Activity Index recorded a level of 50.2 for September - just above 50, which signals no change. It was at a healthy 53.8 in July.

The report said: "The Index remained above the critical 50 no change mark for the fourth month running in September. However, at 50.2, the rate of growth of house-building it suggested was negligible."

Although there was only a marginal increase in activity in civil engineering (50.6) as well, growth across the whole construction industry continued at "a robust rate", the CIPS survey showed.

The headline Purchasing Managers' Index (PMI) - which measures total construction activity - stood at 57.2, down only a fraction from August's 16-month high of 57.4.

It was driven by the commercial sector, with activity continuing to rise at a strong rate as firms started work on new contracts. Its index stood at 59.9.

New orders taken by construction companies rose at the fastest pace in 10 months, CIPS said. And the level of optimism in the construction industry remained high, with the Future Business Activity Index - which measures confidence in prospects for the next 12 months - up 4.9 to 75.8.

Roy Ayliffe, director of professional practice at CIPS, said: "Purchasing managers noted further healthy expansion of UK construction activity in September, driven mainly by growth in new orders. The commercial sector continued to be the industry's strongest performer, while growth of activity in the housing and civil engineering sectors was only marginal. Optimism about the future remained high, as firms widely anticipated increased demand for construction projects over the next year."

From AOL news http://channels.aolsvc.co.uk/news/article....oneynews&c=news (link will only work for AOL members)

[FaTB]

This is just anecdotal but, up to recently I worked in the Plant hire industry, most customers being in Construction.

Called in on my old colleagues last week, to see how business was going, and they said business was on the floor, and that I had probably got out at the right time.

I also have a freind who is in the Piling / foundations business and suggested to him that we may be going into a recession soon, he said what do you mean soon !! We are already in a recession as far as i'm concerned.

[AteMoose]

dates seem to tie in with all the other graphs.... Looks for the 'index' so i can plot it

[Spring Bounce?????]

The development near where I live.

500 potential buyers invited to the grand opening.

8 Turned up.

Need I say more?

Embarrasing for the Mayor.

Edited October 4, 2005 by Spring Bounce?????

[Golden Shower]

Yep, the usual incentives up North and their even throwing in £500/month cash for your mortgage!

[apom]

I was offered my ground rent.. for a year.. stamp duty.. and also.. a 5% deposit paid..

and then £10,000 of..

new development..

but she said prices were not dropping..

well that was about £20,000

hmmmnn