Civil engineering activity has grown at its fastest rate for over three years, according to research.

The closely-watched UK Construction Purchasing Managers’ Index (PMI) showed that infrastructure output rose more sharply in September 2024 than in any month since June 2021.

Published by intelligence outfit S&P Global, the report is based on responses from 150 companies in the sector.

The latest publication gave civils a reading of 59.0 for last month, where 50 indicates no change on the prior period and anything above represents growth.

Respondents declared “robust demand for renewable energy infrastructure, and a general uplift in work on major [civils] projects”.

Housebuilding posted 54.3 in September, with other buildings work registering at 55.2.

This meant the overall construction industry enjoyed its sharpest rise in activity since April 2022.

S&P Global Market Intelligence economics director Tim Moore said firms in the sector had indicated “a decisive improvement in output growth momentum during September”.

“A combination of lower interest rates, domestic economic stability and strong pipelines of infrastructure work have helped to boost order books in recent months,” he added.

Across the industry, new orders grew for the eighth month in succession amid reports of rising client confidence and an increase in enquiries since the General Election.

Sector employment also increased in September, according to the poll.

Future expectations remained positive but the degree of business optimism eased slightly to its lowest level since April.

Meanwhile subcontractor usage decreased for the second month running.

The Building Cost Information Service recently predicted that civil engineering output would increase by almost a fifth in the five years to 2029.

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Source: New Civil Engineer

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