NFB warns of downward spiral in construction industry

The construction industry is in a downward spiral as public spending cuts translate into lower demand and lending conditions remain tough, the National Federation of Builders (NFB) has said.

Figures from the Office of National Statistics reveal that the total volume of new construction orders in the second quarter of 2010 fell by 14% compared with the first quarter of 2010 and fell by 9% compared to the same period in 2009.

Julia Evans, chief executive of the NFB said: