British building sector weakened ahead of referendum
Surveys suggest figures will worsen after Brexit outcome
Construction in Britain shrank for a second month in June and there are signs of worse to come as firms put spending plans on hold following Britain’s shock decision to leave the European Union.
The volume of output fell 0.9 per cent following a 2 per cent drop in May, the Office for National Statistics said today. Output declined 0.7 per cent in the second quarter, more than initially estimated.
Companies were reluctant to commit to projects beforethe June 23 referendum, and surveys suggest the problems facing the building industry are deepening. A closely watched index by Markit Economics showed activity contracting in July at the fastest pace since 2009.
