The survey for the third quarter of 2007 says that growth in construction workloads stabilised, though it remains firm and above the survey's long-run average.

16% more Chartered Surveyors reported a rise than a fall in the third quarter, the same as in the second quarter.

Stable growth in workload activity was more or less evenly distributed across the industry. 

Workload growth bounced back in the public works, public housing and private industrial sectors.

However, workload growth in the infrastructure sector slowed.

For the second consecutive quarter Scotland saw the fastest expansion in workloads.

London and the South East are now experiencing the slowest workload growth of all the regions.

Surveyors' workload expectations and confidence in the profit outlook fell, because of the housing market's ebbing momentum.

Confidence in the profit outlook over the next year is at the lowest level since mid 2006 and below the survey’s long run average.

Skill shortages remained relatively unchanged for the recruitment of tradesmen, with 30% of respondents having difficulties, compared to 29% in quarter 2.

Labour demand in construction has been satisfied by the ongoing flow of migrant workers from Eastern Europe.

RICS senior economist David Stubbs said: "The cooling of the housing market, following the credit crunch and the Northern Rock turmoil has filtered down to the outlook for the construction market.

"The construction industry is stable and a slight downturn in confidence is to be expected given the current economic situation."