UK manufacturing growth continues

The growth of the UK manufacturing industry is continuing in spite of analysts' predictions about a lull in output, the latest industry statistics reveal.

According to the new EEF/BDO Manufacturing Outlook survey, output and orders are still growing in the UK, with all sectors reporting positive activity in the last three months.

Overall, output and orders were in line with last quarter's estimates, with positive expectations for growth in the remainder of 2011 and companies recognising that export demand remains important for growth.

More importantly, future investment and recruitment expectations remain positive, with EEF chief economist Lee Hopley noting that the sector is bucking the trend seen in many other industries.

Meanwhile, Tom Lawton, head of manufacturing at BDO LLP, added: "Despite the economic storm clouds looming in the Eurozone, the US and the UK, this was a strong survey for the manufacturing sector, showing positive balances in terms of orders and outputs in the last quarter and expected in the next."

It comes after August's UK Services Purchasing Managers Index, compiled by Markit and the Chartered Institute of Purchasing & Supply, showed that activity among the UK's businesses continued to grow last month, with a reading of 51.1.

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Posted by Wayne Bly

Filed: 06-09-2011