Slowdown in construction growth rate continues

The slowdown in the construction sector's rate of growth was confirmed in April. New figures from the Ulster Bank purchasing managers' index for the industry said the easing from February's record expansion first noticed in March continued last month.

The index reported a figure of 56.4 last month, compared with 62.3 in March and 68.8 in February. Any figure over 50 indicates expansion but the figure is the lowest since last November.

All three sub-sectors examined in the survey reported less frenetic activity but the housing market continues to be the most active, followed by the commercial construction market.

Civil engineering, which has typically lagged behind the other two, remains the worst-performing category.

"The headline PMI index declined markedly for the second month in a row," said Ulster Bank economist Simon Barry.

“However, these declines need to be seen in the context of the exceptional strength recorded earlier in the year.”

Despite the slower pace of growth, business sentiment improved in April, with more than two-thirds of respondents predicting a rise in activity over the coming year.