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UK Construction PMI Plummets, Job Cuts Surge Amid Crisis

12/4/2025

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Summary

Story summary

The UK construction PMI fell to 39.4 in November, signaling the sharpest contraction since the first Covid lockdown.
The decline complicates Labour's target to build 1.5 million homes by 2030.
Builders are scaling back projects due to rising costs and budget uncertainty, triggering fastest job cuts in four years.
Robert Wood of Pantheon Macroeconomics says the PMI may be overly pessimistic, noting data that suggest conditions are not as dire.

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Story summary

The UK construction PMI fell to 39.4 in November, signaling the sharpest contraction since the first Covid lockdown.
The decline complicates Labour's target to build 1.5 million homes by 2030.
Builders are scaling back projects due to rising costs and budget uncertainty, triggering fastest job cuts in four years.
Robert Wood of Pantheon Macroeconomics says the PMI may be overly pessimistic, noting data that suggest conditions are not as dire.