Morgan Sindall, which is in the process of buying Amec’s regeneration and construction business, said it was in line to meet expectations for the six months to 30 June, partly because the construction market was stronger than last year.

The company said demand for fit-outs was “buoyant” and that its affordable housing arm had won its first PFI scheme.

Its construction order book is lower than the same period last year, but the company has two PFI schemes at preferred bidder stage that are expected to reach financial close.

Morgan Sindall’s overall order book stands at £3.6bn, which is an increase of 9% since the beginning of the year.