UK manufacturing output volumes in the quarter ending in October expanded at a similarly solid pace to September, according to a report by CBI on Thursday.

  • The latest quarterly CBI Industrial Trends Survey, which examines the output of 263 manufacturers, reported output increasing in 11 out of 17 sub-sectors, with growth driven by aerospace, chemicals, and food, drink & tobacco sub-sectors.
  • UK manufacturers expect output growth to increase substantially in the upcoming quarter.
  • Total new orders expanded at a slower pace, but still strong pace compared to July, with the deceleration attributable to an easing in domestic orders growth.
  • Meanwhile, export orders rose at almost the same pace as last quarter. Manufacturers forecast the growth of new orders to increase next quarter, backed by an acceleration in domestic and export orders.
  • Supply chain shortages persisted further in October. Nearly 67% of firms cited the availability of materials as a factor likely to affect output next quarter.

The UK manufacturing sector also continued to deal with significant cost and price pressures. Firms reported an average costs growth in the quarter ending in October. FTSE 100 down -0.48%, GBP USD down -0.09%