Manufacturing output picks up

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Total production output increased by 0.1% between Q3 2014 and Q4 2014, according to the Office of National Statistics (ONS). The largest contribution to the quarterly growth came from manufacturing, which increased by 0.2%.

The ONS said total production output increased by 1.4% between 2013 and 2014. Of the four main sectors, manufacturing output was the only one to rise, increasing by 2.7%.

It estimated total production output increased by 0.5% in December 2014 compared with December 2013. "Manufacturing output was the only main sector to rise, increasing by 2.4%," it added.

Manufacturing output increased by 0.1% between November 2014 and December 2014. The main contributors to the increase were computer, electronic & optical products; the manufacture of transport equipment; and the manufacture of food products, beverages & tobacco.

Lee Hopley (pictured), chief economist at EEF, said: "Manufacturing climbed back in the final months of last year with output hitting its highest level in almost six years. While it was a mixed picture across the diverse range of sectors that make up the sector, there was a particularly strong finish to the year for companies in the electronics, transport and food industries.

"Nevertheless, output is still 5% below the pre-recession peak and while early indicators seem positive for this year, the need for continuing focus from government on boosting investment, innovation and exports remains vital for balanced growth and stronger productivity across the economy."

Total production output decreased by 0.2% between November 2014 and December 2014. The largest contribution to this decrease came from mining & quarrying, which decreased by 1.4%.

In Q4 2014, production and manufacturing were 10.5% and 5.1% respectively below their figures reached in the pre-downturn GDP peak in Q1 2008.