August 25, 2016
Spending on infrastructure in the United Kingdom dropped by 20% in July, the first full month after the country voted to leave the European Union. Barbour ABI, which supplies figures to the country’s Office for National Statistics, said that the value of infrastructure contracts dropped by 20% to £1.5 billion ($1.9 billion), while new construction orders were down to £5.8 billion ($7.4 billion).
Michael Dall, Barbour ABI’s chief economist, indicated that economic uncertainty could be stopping private sector investors from putting money into construction and infrastructure projects. He also indicated that the current government, led by Prime Minister Theresa May, might have more emphasis on fiscal stimulus to help get such projects off the ground.
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