April’s UK construction PMI fell sharply to 39.7, the lowest since November, as inflation and geopolitical uncertainty hit demand.
UK construction activity contracted sharply in April, with the PMI dropping to 39.7 from 45.6 in March, missing expectations. The decline marks the steepest fall since November, driven by surging inflation and weakening demand conditions across most sectors.
New business saw its sharpest decline in six months, with civil engineering and housebuilding hit hardest. Commercial work showed some resilience but still recorded its fastest drop this year. Firms cited heightened business uncertainty linked to the Middle East conflict, which delayed sales conversions and reduced tender opportunities.
Input prices surged at the fastest pace since June 2022, fueled by higher transportation costs and supply chain disruptions. Supplier delivery times lengthened significantly, the worst since December 2022, due to international shipping delays and import challenges from the Gulf region.