Manufacturing demand up across the country

Manufacturing News, Source : TheManufacturer.com
Published : 08 May 2007 7:24
Free whitepapers: Achieve Lean Success | Supply Chain Solutions

The last three months have seen a marked improvement in business confidence among manufacturers right across the UK, with virtually all regions benefiting from better margins and stronger order books.

According to the latest regional trends survey published yesterday (Monday) by the CBI and Experian, business confidence improved across all UK regions for the first time since February 1995. Northern Ireland and Wales were the most optimistic, and sentiment was also high in the East of England, South East & London and Yorkshire & the Humber.

Total new orders too rose for every UK region for the first time since 1995 and most have strong expectations of further gains in new orders during the next three months.

Output trends confirm the encouraging picture, with increases at their second strongest since 2004.

Manufacturers were also able to increase factory-gate prices while keeping cost increases down.

Manufacturing employment, however, fell at its fastest pace for a year, with the West Midlands, the South West, the South East & London, and East of England suffering most.

Experian estimates that a further 30,000 jobs will be lost to manufacturing in the current quarter, but the company’s Peter Gutmann says that overall, the survey presents a more encouraging picture of UK manufacturing than recent official data. Lai Wah Co, the CBI's Principal Economist said it seemed that manufacturers believed they could continue to ride out a strong pound and slowing US economy.

 

Comments on this story

click here to add a comment