The construction sector in the U.K. expanded modestly in the latest month, offering a bit of consolation to economists worried about a recent swath of disappointing economic data, according to The Daily Telegraph. On Thursday, Markit and the Chartered Institute of Purchasing and Supply reported that their joint construction sector purchasing managers’ index was up to 54 in May from 53.3 the month before, which beat economists’ expectations. The level of the index climbed further above the 50-point marker for growth, indicating that the sector’s expansion accelerated last month.
Within the report, Markit noted that sentiment in the sector for future business activity was at the highest level in one year, although Sarah Ledger, an economist with the group, noted, “Concerns over public sector spending cuts continue to weigh on confidence.” Howard Archer of IHS Global Insight commented that the data was “decent but unspectacular,” and CIPS chief executive David Noble said that the impact of government cuts could already be seen in the data. Noble continued to said that “aside from the unsurprising decline in civil engineering activity, the overall figures are not quite so foreboding.”