More signs of construction recovery



According to the Ulster Bank Construction Purchasing Managers Index (PMI), the workforce in the sector also increased in February as companies expressed optimism about the year ahead,

The seasonally-adjusted index, which tracks changes in the construction sector, has now registered increasing activity for six successive months.

Simon Barry, chief economist for the Republic of Ireland at Ulster Bank, said: “The February results of the Ulster Bank Construction PMI point to further rises in Irish construction activity mid-way through the first quarter of 2014.

“The pick-up in activity is translating into a welcome rise in staffing levels, with the employment index also registering a sixth consecutive monthly expansion in February.

“Looking ahead, near-term prospects for the sector are supported by further growth in new orders as firms reported that better market conditions are generating stronger pipelines of new business.

“Beyond the near-term, firms remain strongly optimistic about the sector's 12-month ahead outlook as sentiment last month remained close to the record high seen in December, buoyed by more positive signs in the wider economy.”