Con­struc­tion boost Builders bounce back

The Daily Telegraph - Business - - Business - Tim Wal­lace

Growth is back for Bri­tain’s builders as the em­bat­tled sec­tor ben­e­fited from a resurgence in or­ders in Au­gust.

Fac­to­ries also beat growth ex­pec­ta­tions, rais­ing hopes that the eco­nomic slow­down could be past its worst point.

The Na­tional In­sti­tute for Eco­nomic and So­cial Re­search es­ti­mates the econ­omy grew by 0.4pc in the third quar­ter of the year, up from 0.3pc in the sec­ond quar­ter.

Con­struc­tion had ap­peared to be on the brink of a re­ces­sion, but a 0.6pc rise in monthly pro­duc­tion re­versed some of the 1pc con­trac­tion seen in July.

The ONS said that the sec­tor grew by 3.5pc on the year. New hous­ing and in­fra­struc­ture or­ders both boosted the sec­tor.

The three month on three month fig­ure is still in neg­a­tive ter­ri­tory, how­ever.

“With a lack of clar­ity from the Govern­ment on the Brexit deal, many UK com­pa­nies and in­vestors are bid­ing their time on com­mit­ting to new projects, which means con­fi­dence re­mains frag­ile,” said Michael Thir­ket­tle, the chief ex­ec­u­tive of con­struc­tion con­sul­tancy McBains.

Else­where, the out­put of the man­u­fac­tur­ing sec­tor grew by 0.4pc dur­ing Au­gust.

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