The UK construction industry exhibited signs of a slight recovery in economic activity, as indicated by an improvement in the S&P Global Construction PMI. The index, which sat at 47.9 in May 2025, climbed to 48.8 in June 2025, according to the latest data released on 4th July 2025.
This modest rise, while still below the crucial 50 threshold that separates growth from contraction, suggests an easing in the downturn that has affected the construction sector. The improvement signals that businesses have slightly more optimistic expectations about future activity, despite ongoing challenges.
Although the sector faces headwinds such as persistently high material costs and supply chain disruptions, the uptick may reflect emerging strengths in underlying economic sentiment. The construction sector's close ties to broader economic conditions position this improvement as a potential indicator of forthcoming economic resilience. Observers will be keen to see whether this trend continues into the coming months, potentially ushering in a more sustained period of sectoral growth.
