1 Aug 2012

Confidence fades in construction sector

12:25 pm on 1 August 2012

The construction sector is less upbeat, despite the prospect of Christchurch's rebuilding programme.

In the National Bank's latest monthly business confidence survey, general sentiment stabilised following recent falls, with a net 15% of firms expecting business conditions to improve over the year ahead.

But optimism faded in the construction sector, with declines in business activity and profitability expectations, as well as employment intentions.

National Bank chief economist Cameron Bagrie says growth is still expected in the sector, but it will be more gradual.