Construction sector sentiment faded over Q2, as a collection of headwinds removed some of the shine from a steady rebound of activity. In general, most surveys covering the period report confidence levels across the sector that are neither overly optimistic nor overly pessimistic. Given the succession and array of issues impacting business operations, this is a fair reflection of the industry, its current momentum, and the backdrop against which it is operating.

Steady workload brought some stability to the operating environment, in spite of uncertainty and volatility in supplies and inputs. A tight labour market amplifies what is an otherwise mostly consistent workload environment and this will, doubtless, influence the qualitative assessments of industry confidence. The constrained labour and skills market will probably underpin the employment situation in the UK, even if a more subdued period of output and activity lies ahead.

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