Ireland Construction Expands for Second Month

2026-09-08 00:10 By Kyrie Dichosa 1 min. read

The AIB Ireland Construction PMI eased to 50.7 in August 2026 from 53.0 in July, signaling a second consecutive monthly increase in construction activity, albeit at marginal pace.

Growth was concentrated in the commercial sector, where activity rose for the sixth time in seven months, while civil engineering was broadly unchanged and housing activity declined solidly.

New orders expanded for a second consecutive month, with the pace of growth accelerating to a five-month high, while stronger project pipelines lifted business confidence to a six-month high.

Firms also increased input buying for the first time in three months, although employment growth slowed to a 10-month low.

Input cost inflation accelerated, with oil and metals cited as key sources of higher costs, while supplier delivery times lengthened at the fastest pace in four months amid stock shortages and courier constraints.

The use of subcontractors increased for a ninth consecutive month, though the pace of growth eased.



News Stream
Ireland Construction Expands for Second Month
The AIB Ireland Construction PMI eased to 50.7 in August 2026 from 53.0 in July, signaling a second consecutive monthly increase in construction activity, albeit at marginal pace. Growth was concentrated in the commercial sector, where activity rose for the sixth time in seven months, while civil engineering was broadly unchanged and housing activity declined solidly. New orders expanded for a second consecutive month, with the pace of growth accelerating to a five-month high, while stronger project pipelines lifted business confidence to a six-month high. Firms also increased input buying for the first time in three months, although employment growth slowed to a 10-month low. Input cost inflation accelerated, with oil and metals cited as key sources of higher costs, while supplier delivery times lengthened at the fastest pace in four months amid stock shortages and courier constraints. The use of subcontractors increased for a ninth consecutive month, though the pace of growth eased.
2026-09-08
Irish Construction Returns to Growth in July
The AIB Ireland Construction PMI rose to 53.0 in July 2026 from 45.4 in June, signaling a solid rebound in construction activity after the sharp contraction in the previous month. The recovery was broad-based, with all three sectors expanding for the first time in 15 months. Commercial construction led the upturn, while residential activity returned to growth after three months of contraction and civil engineering expanded for the first time since April 2025. New orders also increased following a marked decline in June, although the rise was only slight amid a scarcity of tender opportunities. Employment grew for a ninth consecutive month at a faster pace, while firms also increased their use of subcontractors. Input cost inflation eased to a five-month low, although costs continued to rise rapidly, while supply-chain disruptions persisted due to international shipping issues. Business confidence strengthened for a third consecutive month to a four-month high.
2026-08-11
Irish Construction Shrinks the Most in 9 Months
The AIB Ireland Construction PMI fell to 45.4 in June 2026 from 50.2 in May, marking the sharpest contraction in construction activity since September 2025. The downturn was broad-based, with activity declining across all three sectors, led by the residential segment, which recorded its steepest fall in nearly four years, while commercial activity contracted for the first time in five months. New orders also declined at the fastest pace since August 2023 as sharply rising prices discouraged clients from committing to new projects. In response, firms reduced purchasing activity for the first time in eight months, although employment continued to grow for an eighth consecutive month. Supplier delivery times lengthened due to shipping disruptions linked to the Middle East conflict, while input costs remained elevated amid higher oil and raw material prices, despite inflation easing slightly for a second straight month. Lastly, business confidence improved for a second consecutive month.
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