CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 80.96% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open platformOpen platform

Housebuilding slump drags down UK construction activity, PMI shows

By Reuters News

Nov 5 (Reuters) - Britain's construction sector shrank last month at its fastest pace since June as housebuilding suffered its worst month of the year, a survey showed on Thursday.

The S&P Global UK Construction PMI fell to 43.6 from 46.1 in September, below every forecast in a Reuters poll of economists, whose median estimate had pointed to no change.

Readings below 50 denote contraction, which has been the case for the construction PMI for nearly two years.

  • Civil engineering and commercial activity contracted, but the downturn was especially severe for the housing sector, which saw the biggest drop in activity since December 2025

  • Only the COVID-19 pandemic and the global financial crisis saw greater drops in housebuilding activity than last month and December 2025

  • "Construction companies commented on severe headwinds in the housebuilding sector from rising borrowing costs, weak consumer confidence and elevated economic uncertainty," said Tim Moore, economics director at S&P Global Market Intelligence

  • "However, there were reports of strong demand for data centre projects, alongside rising workloads in the energy and utilities sectors," he added

  • The survey's index of input costs rose to its highest level since June after jumping more than 10 points on the month, with respondents citing fuel surcharges and energy costs

  • Business optimism waned to its lowest level since May

  • The all-sector PMI — a combination of the construction, manufacturing and services surveys — rose to 52.1 in October from 51.5, the strongest reading since February

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.