New orders in the UK construction sector have soared to levels not seen in more than four years, latest data shows.

The closely followed IHS Markit/CIPS Purchasing Managers' Index (PMI) for February hit 52.6 - a jump from 48.4 in January.

Anything below 50 is a sign of a sector in contraction
Businesses had been holding off starting major projects while there was uncertainty around the general election and Brexit.

With the Tories securing a majority and Brexit moving to negotiations on a trade deal, companies are showing signs they are willing to start spending again.

READ MORE: Scott Wright: Banks should think of customers next time they swing the axe on branches

Tim Moore, economics director at IHS Markit, said: "Growth of business activity was stronger than at any time since the end of 2018, supported by the fastest rise in new orders for just over four years.

"Some construction firms suggested that the recovery in output would have been even stronger had there not been disruptions on site from severe weather conditions in February.

"The fly in the ointment is the uncertain impact of the coronavirus outbreak on UK economic growth prospects. A renewed slowdown could see domestic investment spending put back on hold and dampen the outlook for the UK construction sector."

Residential building remained the best-performing category, with the strongest expansion of house-building activity since July 2018, and there was also a return to growth for commercial work.

Builders merchant and DIY retailer Travis Perkins has shrugged off "challenging market conditions" to deliver better-than-expected sales for the past year.

The FTSE 250 company said it benefited from growth in its Wickes retail chain as it swung back into profit in 2019.

READ MORE: BrewDog chief warns bars will 'buckle' under Johnson immigration crackdown

The "strong recovery" for Wickes comes as Travis Perkins closes in on its planned demerger for the retail arm.

It said plans to spin off Wickes are "proceeding smoothly", with the company set to be a standalone listed business in the second quarter of this year.

Travis Perkins chief executive Nick Roberts said he is happy with the position of the business and believes it is well-placed to weather the impact of tough market conditions and the recent coronavirus outbreak.

"We are watching the situation with coronavirus very closely," he said.

"We have 30 staff in Shanghai who deal with our Asian operations, so our priority is their well-being."

Travis Perkins swung to a £123 million pre-tax profit in the year to December 2019, from an £84 million loss in the previous year.

Temporary power group Aggreko has said it is "monitoring closely" the potential impact of coronavirus on the group and the Tokyo 2020 Olympics.

The group is among firms providing power for the upcoming Games in Tokyo, but there are fears Japan may postpone the event due to the outbreak.

The comments came as Aggreko unveiled a 13% rise in underlying pre-tax profits to £199 million for 2019.