Construction activity may be falling more slowly now, but a number of issues are challenging the sector

Despite welcome news that the UK construction sector is contracting at a slower pace, the industry is still struggling.

August saw the UK construction industry enter its 18th month of contraction, but there were sighs of relief as the CIPS/Markit Purchasing Managers' Index saw a reduction in the pace of deterioration. While reduced activity was again largely attributed to dampened demand for new orders, there are a number of issues challenging the sector.

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Postscript

David Noble is chief executive officer of the Chartered Institute of Purchasing & Supply

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