UK manufacturing growth ‘strongest for 18 years’
Growth in the UK’s manufacturing sector during the past three months was the strongest for 18 years, according to the latest Industrial Trends Survey from the Confederation of British Industry. The survey of nearly 350 manufacturers found that both the size of order books and the pace of output growth were at their highest levels since 1995, indicating that the recovery in UK manufacturing is accelerating.
Order books were their strongest since March 1995, with export orders “very firmly” above average. Output volumes over the three months to November rose at their fastest rate since January 1995, with all but one sector (electrical engineering) reporting growth.
“This new evidence shows encouraging signs of a broadening and deepening recovery in the manufacturing sector,” says Stephen Gifford, the CBI’s director of economics. “Manufacturers finally seem to be feeling the benefit of growing confidence and spending within the UK and globally.
“Both order books and the pace of output growth are the strongest they’ve been since 1995,” he adds, “and firms are expecting similar-paced growth over the coming three months as well. But challenges remain. UK exporters need government support to break into high-growth export markets to reduce their vulnerability to any further Eurozone flare-ups.”
The surveyed manufacturers expect output growth to continue strongly over the coming three months.
