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UK construction growth was boosted by new orders during May, it has been claimed.

Following a slight slowdown in activity during April, the Markit/CIPS construction industry PMI index for May rose marginally more than experts’ expected, encouraging optimism in the economy.

Growth in the construction industry increased from 53.3 to 54.0 during May but most analysts expected it to rise just 0.3. Nevertheless, any reading above 50 indicates growth.

It has been indicated that the growth was largely down to a rise in orders. Many construction companies had recorded an increase in orders for new business. As a result, employment also increased after a 10 month run of cuts although the Markit suggests that the rate of job creation has remained modest.

The construction sector was growing in the last six months of 2010 but recorded its sharpest quarterly fall between January and March 2011 for two years so these figures that show an upturn are very welcome.

Conversely, it was predicted that the outlying future of the construction industry is looking positive and it is expected to lead the economy out of recession. The PMI index, which marked a boost in growth last month, will help hold optimism levels high.

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