Builders see biggest rise in orders in nearly a year

Builders have kept up the New Year cheer after the industry saw the biggest rise in orders for almost 12 months.

Housebuilding is driving the construction industry forward as December workloads recovered from a post-Brexit blip, the Chartered Institute of Procurement & Supply said.

Despite rising costs, orders grew at their fastest rate since last January while overall industry activity is rising at its quickest since March, it added.

Chief executive David Noble said: “In the short term at least, the sector looks set to enjoy these improved demand conditions for the coming months, which is positive news after many months of instability.”

Manufacturers also saw a strong performance in December. Key data from the much larger services sector are out tomorrow.

Elsewhere the news was more mixed as Bank of England figures showed faltering business lending and fewer mortgage loans than expected in November. But consumer spending is rising at its fastest in 11 years, the figures added.