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2019.10.0204:56:00UTC+00UK Construction Sector Contracts Further In September

The UK construction sector contracted further in September, survey data from IHS Markit showed Wednesday.

The IHS Markit/Chartered Institute of Procurement & Supply construction Purchasing Managers' Index fell to 43.3 in September from 45.0 in August. The score was forecast to remain unchanged at 45.0.

This was the second strongest contraction since April 2009. Any reading below 50 indicates contraction.

Commercial activity was the worst-performing segment in September. At the same time, civil engineering activity dropped at a similarly sharp rate that was the fastest in close to a decade. Residential building signaled a fourth successive monthly decrease.

Overall, the performance of the UK economy once again hinges on the service sector showing a marked degree of resilience to offset the weakness seen in construction and manufacturing, Joe Hayes, an economist at IHS Markit, said.

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