British construction activity eased slightly in September from a near-six-year high in August, a survey of purchasing managers showed on Wednesday, but residential construction rose at its fastest rate in nearly a decade.

The Markit/CIPS construction purchasing managers index (PMI) edged down to 58.9 from 59.1 but was still well above the 50 threshold that separates growth from contraction.

Economists polled by Reuters had expected a reading of 59.2.

All three sub-sectors of construction grew last month, with the sharpest rise in housing since November 2003, potentially easing some concerns about Britain’s shortfall of new homes.

“Construction is no longer the weakest link in the UK economy,” said Tim Moore, senior economist at Markit.

Optimism was also up, with 51 per cent expecting output would rise over the next 12 months and only 9 per cent of respondents predicting a fall, the highest level of confidence since August 2010.

“Having been in the doldrums for so long, builders are using this renewal as a platform to invest, with employment seeing the most dramatic upturn in close to six years,” said David Noble, chief executive at the Chartered Institute of Purchasing & Supply.

PMI data on Tuesday showed Britain’s manufacturing activity grew at a slower rate than expected in September, but also showed that employment was picking up.

On Friday, mortgage lender Nationwide said British house prices rose for the fifth straight month in September and hit record highs in London.