British manufacturing – confidence dwindles
01 November 2011
The British manufacturing industry has suffered its largest drop in confidence in more than two years, with 11% of respondents to a recent Confederation of British Industry (CBI) survey expecting output to fall over the next three months.
Robin Johnson, partner and chair of industrial engineering at international law firm Eversheds, said: “When reading this statement it is important to be aware of the contrast that the survey makes with the record results we have been seeing from many large diversified companies, particularly on the US side. Inevitably, the drag on the industry from the on-going EU sovereign debt crisis has played on the minds of respondents to the survey and influenced the results.
"In actual fact at the micro level orders remain relatively positive. What can be said is that some sectors are looking stronger than others. Supplies in energy and aviation infrastructure for example remain positive though defence is seeing signs of deterioration as government cuts start to bite. However, the key to a healthy UK manufacturing industry is exports and there is still a belief that an infrastructure stimulus package at an EU level can keep orders up and bolster confidence.”
Most Viewed Articles...