"According to the Make UK/BDO Q3 Manufacturing Outlook survey, all indicators in the survey have improved following a series of weak quarters, with export growth in particular leading to greater demand. Furthermore, the United States has recovered its position as the second most favoured market for growth prospects, having dropped out of the top three global blocs in Q2 for the first time in the history of the survey in response to tariff uncertainty earlier in the year."
"the survey also shows that almost three quarters of companies (70%) expect further increases in costs in the forthcoming Budget at a time when a similar number (68%) have said their costs have already increased more than expected in the last six months. As a result, more than half of companies (58%) have already raised prices this year, while a similar number (53%) intend to do so in the next six months, highlighting that inflationary pressures for manufacturers remain in the pipeline."
"Despite the sharp rebound in activity this quarter Make UK also cautioned against the survey kick starting a period of stronger trading, as growth forecasts for the sector remain weak with output still forecast to fall by -0.1% this year and -0.6% in 2026. Stephen Phipson, Chief Executive at Make UK, said, "After a period of considerable uncertainty in global markets, these figures are an encouraging sign that manufacturers' confidence is improving and, more importantly, being translated into growth and investment."
Manufacturing activity rebounded sharply in Q3 with pent-up investment demand released and recruitment intentions rising. The sector faces 46,000 vacancies, costing £4bn in lost annual output. All indicators have improved after several weak quarters, driven by export growth and a restored position for the United States as a favoured growth market. Nearly 70% of companies expect further cost increases ahead of the Budget and 68% reported greater-than-expected cost rises in the last six months. Over half of firms have raised or plan to raise prices, leaving inflationary pressures in the pipeline. Output is forecast to fall -0.1% this year and -0.6% in 2026.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]