Latest News Stream - Construction Pmi

The S&P Global UK Construction PMI fell to 43.6 in October 2026 from 46.1 in September, missing expectations of 46.1 and signaling the sharpest contraction in construction output since June. Residential construction was the weakest segment, with the index at 35.1, the lowest since December 2025 amid low consumer confidence and rising borrowing costs, while civil engineering (45.9) and commercial activity (46.3) showed more resilience. Total new orders fell at the fastest pace since June amid subdued market conditions and fragile client demand, although some firms reported improved order books due to infrastructure spending. Purchasing activity also fell sharply, while delivery times lengthened the most since May amid low stocks and transport delays. Meanwhile, input cost inflation accelerated to a four-month high on fuel surcharges and higher energy costs. Looking ahead, firms remained cautious, with business sentiment at its lowest since May.

The S&P Global France Construction PMI fell to 38.8 in October 2026, down from 39.8 in the previous month. It extended the sector's downturn that began in June 2022, reflecting a continued sharp decline in new work, which weighed on purchasing volumes and employment. Despite weaker demand for construction materials, supplier delivery times lengthened further. On the price front, input cost inflation accelerated to a five-month high. All three construction segments recorded steep declines, with residential construction remaining the worst-performing sub-sector. Civil engineering activity contracted at a faster pace, while commercial construction saw a substantial decline, albeit at the slowest rate since May. Looking ahead, French construction companies remained pessimistic about the year-ahead outlook, citing uncertainty surrounding the 2027 presidential election as a factor likely to weigh on activity.

The S&P Global Germany Construction PMI fell to 41.6 in October 2026 from 43.5 in September, its lowest reading since March 2025. Housing remained the main drag, although its decline eased from the previous month, while commercial construction recorded its steepest contraction since July. Civil engineering activity also weakened, posting its sharpest decline in nearly two years. Meanwhile, new orders fell at the fastest pace in six months amid limited tender opportunities, tighter client budgets and cautious customer spending. Employment continued to decline, although job losses eased to their slowest pace since June. Cost pressures intensified, with input price inflation reaching a four-month high amid rising energy and oil-related costs, while subcontractor rates recorded their second-sharpest rise in almost four years. Looking ahead, business confidence weakened to its lowest level since May as subdued order books and high borrowing costs continued to weigh on expectations.

The S&P Global Italy Construction PMI rose to 47.3 in October from 46.5 in September. The latest reading was the least marked in three months and far softer than August's four-year record. The improvement came despite a sharp decline in new orders, which fell at the fastest pace since August 2024 and recorded their second-steepest drop in 50 months. Construction activity continued to contract across all three monitored segments, with residential building and civil engineering again experiencing the steepest declines. Firms remained cautious about purchasing activity but continued to increase employment. In addition, the ongoing conflict in the Middle East further disrupted supply chains, with supplier delivery times lengthening to the greatest extent in more than two and a half years. The conflict was also a contributing factor behind still-elevated cost inflation. Looking ahead, business confidence weakened, slipping into negative territory for the first time in three months.

The S&P Global Eurozone Construction PMI fell to 42.5 in October 2026 from 43.4 in September, marking the steepest decline since April. Activity has now fallen for 54 consecutive months, with all three major Eurozone economies recording contractions. France experienced the sharpest decline, followed by Germany, while Italy saw a softer reduction, the mildest in three months. Demand conditions weakened further, with new orders recording their sharpest decline in six months. Employment and purchasing activity also contracted, although at at softer rates than in the previous month. Cost pressures remained historically elevated, with input price inflation accelerating to a five-month high. Eurozone construction firms grew increasingly pessimistic about the year ahead in October, with negative sentiment extending for an eighth consecutive month and reaching its weakest level since April. Sentiment was weakest in Germany and France, while Italian firms also turned slightly pessimistic.

The PMI declined to 50.4 in September 2026 from 50.7 in August, signaling a third consecutive monthly expansion in construction activity, albeit at a marginal pace. It was the slowest expansion in the sequence, with a marginal rise in new orders supported by stronger demand. Growth eased amid a further solid decline in residential construction activity. Meanwhile, civil engineering activity returned to growth, while commercial construction expanded for the third straight month. Employment fell for the first time in 11 months, while delivery times continued to lengthen and purchasing activity rose marginally. Input cost inflation accelerated to a three-month high amid reports of higher fuel and transportation costs. Looking ahead, business sentiment weakened from a six-month high in August, though it remained in positive territory, supported by rising new orders and a healthy pipeline of new projects.

The S&P Global UK Construction PMI rose to 46.1 in September 2026 from 44.3 in August, missing expectations of 45.2 and signaling the slowest decline in construction output since January. Commercial construction showed the greatest resilience, falling only marginally, followed by civil engineering and residential construction with softer contractions. However, total new orders fell at the fastest pace since June amid sluggish market conditions, delayed decisions on major projects, and sharply rising input costs. Employment fell again, with job cuts accelerating the fastest in five months. Demand for construction products and materials also declined, while delivery times lengthened to the greatest extent since May amid shipping delays and supply chain disruptions related to the Middle East conflict. Meanwhile, input cost inflation eased to a seven-month low. Construction firms remained optimistic about the year ahead, although confidence fell to its lowest since May.

The S&P Global Italy Construction PMI rose to 46.5 in September 2026, picking up from a four-year low of 41.7 in the previous month. The improvement was driven by a less marked decline in new construction orders, while employment also recorded a modest increase. Meanwhile, lead times continued to lengthen, reflecting the impact of the war in the Middle East, with logistical and transport disruptions and stock shortages weighing on supply-chain performance. On the price front, input-cost inflation accelerated to a four-month high, driven by higher outlays for raw materials, fuel, transport and energy. Among subsectors, all remained in contraction, with the steepest decline recorded in housing, while commercial construction signaled only a slight contraction. Looking ahead, Italian construction companies remained optimistic about output over the next 12 months, although confidence stayed below its long-run average.

The S&P Global France Construction PMI rose to 39.8 in September 2026 from 37.3 in August, remaining well below the 50 threshold, signaling a continued sector-wide downturn. Commercial construction was once again the weakest segment, posting a steep decline followed by residential construction, while civil engineering activity posted its slowest contraction in eight months. New projects continued to fall, extending the downturn in demand to four-and-a-half years, amid a lack of new tenders, client budget constraints, and general uncertainty. Firms also cut construction material purchases and employment, extending the current period of job shedding that began in May 2024. Meanwhile, input cost inflation remained historically elevated, partly due to repercussions from the war in the Middle East, while delivery delays eased to their lowest since June 2025. French constructors also became more pessimistic about the year ahead, with expectations falling to their weakest since December 2025.

The S&P Global Germany Construction PMI fell to 43.5 in September 2026 from August’s eight-month high of 48.7. The renewed downturn in housing activity was a key drag, with the sector recording its steepest contraction since December 2024 after showing signs of stabilization in August. Commercial activity also suffered a fresh setback following a brief return to growth, while civil engineering activity fell marginally. New orders continued to decline, albeit at the slowest pace in three months. Weaker demand prompted constructors to reduce purchasing activity and cut their workforce, with employment declining at the fastest pace since April. Cost pressures also intensified, with both input costs and subcontractor rates rising at faster rates. Meanwhile, constructors continued to report delays, although the degree to which lead times lengthened was the least marked since last December. Looking ahead, constructors remained pessimistic about the outlook for activity in the year ahead.

The S&P Global Eurozone Construction PMI rose slightly to 43.4 in September 2026 from 43.0 in August, but remained below the 50.0 threshold, signaling a marked contraction in construction activity. The downturn remained broad-based across France, Germany and Italy, with France recording the steepest contraction, Germany seeing a much sharper decline and Italy the slowest fall. Residential construction saw the sharpest contraction and its fastest decline since February 2025, led by Germany. Meanwhile, new orders continued to fall, extending the downturn in demand to four-and-a-half years, although the pace eased from August. Employment declined for an eighth consecutive month, while purchasing activity also fell sharply. Input price inflation accelerated for the first time since April, with cost pressures strongest in Italy and Germany. Looking ahead, business sentiment remained pessimistic, with expectations at their weakest since April amid weak demand, rising costs and tight budgets.

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.

The S&P Global UK Construction PMI eased to 44.3 in August of 2026 from 44.7 in the previous month, missing expectations of 45.5. Survey respondents noted fresh weakness in demand conditions from clients that caused a drop in new projects, especially in residential construction starts, amid lower risk sentiment as the war in the Middle East raises both energy prices and borrowing costs. The residential work index slumped to 37.6, while civil engineering activity dropped to 40.5 and commercial construction activity fell to 47.8. Consequently, aggregate construction firms reduced head counts. Input cost inflation picked up on larger transportation bills, raw material prices, and fuel costs. Looking ahead, companies were still upbeat for the year ahead due to expectations of new tender opportunities.

The S&P Global Italy Construction PMI fell to 41.7 in August 2026 from 49.1 in the previous month, marking its fastest fall since August 2022, as construction activity declined sharply amid a solid drop in new work. The downturn was concentrated in housing and commercial construction, while civil engineering activity fell only modestly. New orders declined for the fifth time in six months, with firms citing weaker demand, geopolitical uncertainty, permit delays, staff shortages, and the end of the National Recovery and Resilience Plan (PNRR). Purchasing activity fell at its fastest pace in over three and a half years, while supply-chain pressures intensified. Meanwhile, cost inflation eased to its softest pace since the start of the year. Employment continued to rise slightly, but subcontractor use fell sharply. Business confidence returned to positive territory, supported by strong order pipelines, though concerns over the PNRR's end and weaker investment persisted.

The S&P Global France Construction PMI slipped to 37.3 in August 2026 from 41.5 in July, signalling a faster contraction in construction activity across France, the sharpest since May 2020. Activity fell across all three construction categories, with residential and commercial construction recording the largest declines. New orders continued to fall, posting their fastest decline in four months and extending the downturn since April 2022. Firms cut jobs for the 28th month running, with the pace of reductions accelerating. Purchasing volumes declined as well, though the fall was the weakest in six months. Meanwhile, input cost inflation remained well above its survey average and picked up for the first time since April. Supply chain conditions remained challenging, but delivery delays eased to their lowest in six months. Lastly, French constructors grew more pessimistic about the year ahead, with expectations for business activity falling to their lowest since April.

The S&P Global Germany Construction PMI Total Activity Index rose sharply to 48.7 from 42.1 in July, marking an eight-month high and the slowest contraction since the downturn began at the start of the year. The improvement was led by commercial construction, where activity increased for the first time in more than a year, while residential activity declined at a much slower pace. Business confidence also improved slightly. However, civil engineering returned to contraction after a slight increase in July, while new orders continued to fall as high prices and borrowing costs weighed on demand. Employment declined for a seventh consecutive month, with job losses accelerating to their fastest pace since April. Input cost inflation rose for the first time in four months, reversing July’s five-month low, while supplier delivery times lengthened. Looking ahead, constructors remained downbeat, citing weak new orders, high costs, squeezed incomes and Middle East war risks.

The S&P Global Eurozone Construction PMI fell to 43.0 in August 2026 from 44.3 in July, signaling a sharper contraction in construction activity. Total activity has now declined for 52 consecutive months, with the downturn led by steeper contractions in France and Italy, while Germany recorded its softest decline of 2026 so far. Housing saw the sharpest contraction, followed by commercial construction, while civil engineering also declined. Meanwhile, new orders fell at the fastest pace since April, prompting further job cuts and reductions in purchasing activity. Employment declined for a seventh month, with job shedding accelerating to a four-month high, although staffing in Italy rose for a second month. Cost pressures eased further, with input cost inflation falling to a six-month low, while subcontractor rate inflation reached its weakest since February. Looking ahead, business sentiment remained pessimistic at a three-month low, with French firms the most downbeat.

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.

The S&P Global UK Construction PMI rose to 44.7 in July of 2026 from 38.4 in the previous month, extending the rebound from the six-year low of 38.2 in May to reflect some consolidation since the outbreak of war in the Middle East negatively impacted the sector. Commercial work was the subsector that slowed the least, followed by house building activity and civil engineering activity. Aggregate new business received by construction companies fell at a slower pace from June amid a turnaround in tender opportunities. While energy and raw material cost inflation softened from the earlier, improving signs in the Middle East allowed for a pickup in orders. Consequently, employment also fell at a softer pace. Looking ahead, a larger portion of surveyees predicted business expansion in the coming months than those anticipating a decline.

The S&P Global Eurozone Construction PMI came in at 44.3 in July 2026, up from 42.8 in June, pointing to another sharp contraction but one that was the softest since March. Construction activity remained firmly in contraction across the region at the start of the third quarter, with declines continuing across all monitored sectors and the three largest economies, led by a sharper downturn in Germany. This was largely attributed to subdued demand, as new orders contracted at a faster pace. Job cuts persisted across eurozone construction for a sixth month, easing to the slowest pace since February despite steeper reductions in Germany. Meanwhile, cost pressures eased further as the energy-driven inflation spike following the Middle East conflict continued to moderate from April's record high. Looking ahead, firms across all three countries remained pessimistic, pushing business sentiment to its lowest level in three months, with Germany the most downbeat.