The construction workload in the UK has fallen to its lowest level for two years, according to a survey by the Federation of Master Builders (FMB).

The decline in construction is further evidence of the slowdown in the UK housing market, according to the FMB, which represents 13,000 building companies.

The FMB survey also reveals domestic renovation, modernisation and improvement work have all been worst hit with the lowest balance of -38.

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Director of the FMB, Brian Berry, said: "What our survey shows is that there has been an obvious downturn in the British economy in general so it is unsurprising that its biggest industry, the construction industry, has felt the force of this.

"While the current situation will cause problems for the immediate future the survey shows it is not a complete disaster with the majority of builders expecting their workloads to remain steady in 2008."

Some construction firms are also finding it difficult to employ new people, however, according to Consumer Direct, some of these problems may not be due to the property market slowdown.

(CD/JM)