Construction firms are remaining positive about their future prospects despite a decline in growth during November, a recent survey has revealed.

The Markit/CIP PMI fell last month to 55.3 from 58.8 in October.

Overall, output growth was its weakest for almost two-and-a-half years amid a sharp loss of momentum in housebuilding.

However, firms still remained positive about the future state of the sector, with 55% expecting to see a rise in output over the coming 12 months.

Tim Moore, Senior Economist at Markit, said: "The UK construction recovery is down but not out, according to November’s survey data.


"Residential activity lost its position as the best performing sub-category, but a supportive policy backdrop should help prevent longer-term malaise.

"Strong growth of commercial construction was maintained in November as positive UK economic conditions acted as a boost to new projects, while civil engineering remained the weakest performer.

Overall the latest results suggest that construction companies have become a little more cautious towards year-end, especially in terms of job hiring.

"A healthy flow of new tenders from public and private sector clients is expected to provide a tailwind to growth heading into 2016.

"Reflecting this, UK construction firms were again overwhelmingly positive about the outlook for their business activity, while only a small proportion anticipates falling output levels during the next 12 months."

(LM)