Financial News: UK Manufacturers Expect Output To Fall: CBI

UK Manufacturers Expect Output To Fall: CBI

(RTTNews) - UK manufacturers anticipate output to decline again in the three months to March and order books to remain weak, the latest Industrial Trends Survey results from the Confederation of British Industry showed on Wednesday.

The balance for manufacturing output improved to -21 percent from -30 percent in the quarter to November. A balance of 17 percent expects output to decline in the three months to March.

The order book level rose -32 percent from -37 percent in November. The score was expected to improve moderately to -35 percent. A net 27 percent of manufacturers reported that export orders declined in December compared to -31 percent in November.

Expectations for average selling price inflation strengthened in December, with the balance rising to 19 percent from 7 percent in November.

"Activity was clearly held back by uncertainty ahead of the Budget, and with that now out of the way firms can look to 2026 with a little more certainty," CBI Lead Economist Ben Jones said.

"Significant headwinds remain nonetheless, with demand still soft, high energy, labour and regulatory costs squeezing margins, and uncertainty around key policies and global conditions continuing to weigh on confidence," said Jones.

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