Despite decline, confidence in UK manufacturing sector remains robust has been saved
Despite decline, confidence in UK manufacturing sector remains robust
1 August 2018
Commenting on the IHS Markit/CIPS UK Manufacturing PMI, which went from 54.4 in June to 54.0 in July, Duncan Johnston, UK manufacturing industry leader at Deloitte, said:
“The PMI index declined from 54.4 in June to 54.0 in July as the slowdown in UK manufacturing growth continued. However, while the headline figure is down, there are a number of positive signs identified in the data. For example new export demand increased at its fastest rate in six months, offsetting weakness in domestic demand. UK manufactures remain positive about the outlook for their business, and as a result, employment in the sector increased in July, marking two years of continuous job creation.
“Rising input prices remain a concern, driven by increased commodity prices and the scarcity of some raw materials. However, UK manufacturers say that they were able to pass some of this cost increase on to their customers, allowing them to protect profitability and their ability to continue to invest.
“Manufacturers remain positive about the outlook: almost half expect output to be higher in 12 months’ time.”
Notes to editors
In this press release references to “Deloitte” are references to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”) a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see deloitte.com/about for a detailed description of the legal structure of DTTL and its member firms.
Deloitte LLP is a subsidiary of Deloitte NWE LLP, which is a member firm of DTTL, and is among the UK's leading professional services firms.
The information contained in this press release is correct at the time of going to press.
For more information, please visit www.deloitte.co.uk
Member of Deloitte Touche Tohmatsu Limited