Key Statistics: 11 Nov 2014

Construction

• October’s Markit/CIPS Construction PMI recorded an index value of 61.2, from 64.2 last month. Though the slowest rate of expansion for five months, this remains well above the 50.0 no change mark. The pace of growth slowed across all three main industry sectors; most markedly residential work, where growth eased to a 12 month low. As a result commercial work became the leading driver of growth in output, according to the survey.
• Members of the Mineral Products Association reported rising sales of Crushed Rock, Sand & Gravel, Asphalt and Ready Mixed Concrete in Q3 2014. Concrete sales by volume in London are now 30% higher than 2007 levels, but across Great Britain remain down 30% from 2007 peaks, highlighting the uneven extent of the construction recovery so far.

Economy

• Quarterly house price growth has eased to the slowest rate since December 2012, according to the Halifax House Price Index. In the three months to October prices were 0.8% higher than the previous three months, down from an increase of 2.7% in the three months to September. Compared to the same period a year ago prices were up 8.8%; this annual growth rate has declined from 10.2% seen in the three months to July.
• Growth in the UK’s services sector fell to a 17-month low in October, according to the latest Markit/CIPS PMI survey. As the dominant sector in the UK economy, this result points to the rate of GDP growth easing slightly in the final quarter of the year. More encouragingly, employment rose at the fastest rate for three months, both to meet rising backlogs and to support future expansion.  
• More than 2 million cars have been registered in Britain in 2014 so far, the earliest in the year this milestone has been reached in any year since 2007. October showed 14% rise in registrations compared to a year earlier, according to the Society of Motor Manufacturers and Traders. However they are forecasting only modest growth for 2015 followed by a flat 2016.