Housebuilding falls again in S&P Global UK Construction PMI - Phoebus reaction

07 May 2026

Richard Pike, Sales and Marketing Director at Phoebus Software:

“The latest UK construction figures from S&P saw output fall for the sixteenth consecutive month and the steepest decline since November 2025. Housebuilding is enduring a deep and long-lasting slump and with a rapid increase in costs inflation during April and ongoing economic uncertainty I can’t see any meaningful recovery in the near future. In the past two weeks, both Persimmon and Crest Nicholson have sounded the alarm over rising costs and softening demand. Housebuilders are under pressure from the Government to build more houses but without major intervention, its target of 1.5m new homes by 2029 now looks unattainable.

“Confidence levels remain positive but are at their lowest levels since November due to the uncertainty caused by the Middle East conflict. If the industry has any chance of recovery, then the Government needs to rethink its housing strategy - what’s needed is clearer policy direction, planning reform and support for smaller developers.”