UK manufacturing output & orders remain robust
The CBI’s latest Industrial Trends Survey has found that output growth slowed slightly in the three months to August but remained well above the long term average and is expected to continue at a similar level over the next three months. Meanwhile, total order books also remain well above the long term average. For the full picture please read the bulletin below which was issued by Insider News Media Ltd today.
Roger Mundy, Managing Director, Beardsley Theobalds, 22nd August 2018
Manufacturers report robust orders and output - CBI
Both manufacturing output and orders across the UK remain robust, according to new research, although the growth of the former has eased.
CBI's latest Industrial Trends Survey has found that output growth slowed slightly in the three months to August but remained well above the long-term average. A total of 13 out of 17 sub-sectors reported improvements, driven by the food, drink and tobacco sector.
Manufacturers expect output growth to continue at a "similarly firm pace" over the next three months.
While total order books faded slightly compared with the previous month, they were still comfortably above the long-run average. Export orders remained strong. Meanwhile, expectations for output price inflation remained steady and broadly similar to those reported over the past six months.
Anna Leach, head of economic intelligence at the CBI, said: "Manufacturing growth remains strong, supported by the lower level of sterling and strong global economy. But risks to that growth remain high in light of international trade tensions and the uncertainty caused by Brexit.
"Make no mistake, a no deal scenario would be immensely damaging not just for UK manufacturers but also the rest of the EU. So both sets of negotiators need to demonstrate flexibility and compromise to protect trade flows worth €600bn each year, particularly against the backdrop of increasing protectionist rhetoric."