UK manufacturers’ expectations for output growth have improved, while firms’ order books showed signs of recovery in June, the CBI said yeserday. |
Of the 459 manufacturers responding to the latest monthly Industrial Trends Survey, 27% expect to increase their volume of output over the course of the next three months, while 19% expect it to fall. Resulting in a rounded balance of +7% marks an improvement on the negative figure recorded in May (-3%), though still below those seen in the early months of the year.
The flow of orders saw an improvement in June, with 17% reporting that order books were above normal. With 28% stating that order levels were below normal, the balance of -11% represents an upturn from last month (-17%) and is above the long-run average (-17%). Likewise, export orders also strengthened with a balance of -4%, well above the long-run average of -21%.
Expectations for output price inflation have weakened. A balance of only +2% of firms expect to increase output prices over the next quarter, the lowest balance since November 2011 (+2%).
Stock levels remain under control, with a balance of +16% saying stocks are at least adequate to meet demand, and in line with their long-run average (+14%).