Economic growth remains slow but solid, says CBI

The survey of 749 businesses revealed slower growth across all sectors of the economy with manufacturing the weakest performer on the back of deteriorating export orders. The resulting survey balance of +19% is above the long-run average, but slightly weaker than last month's survey balance of +23%. Looking ahead to the next quarter, businesses are predicting slightly stronger growth of +25%, similar to the pace expected in September (+27%). However, businesses have scaled back their expectations for growth since the August survey (+38%), and from earlier in the year. Rain Newton-Smith (pictured), CBI director of economics, said: "The economy is continuing to grow at a slower, but nonetheless solid pace. "This isn't surprising since we expected growth to tail off somewhat in the second half after a strong start to the year. Despite all the international headwinds, it's encouraging to see our surveys showing a steady expansion in the UK economy. "Nonetheless, manufacturers in particular are feeling under pressure as export growth continues to disappoint. Faced with huge political and economic uncertainties, ranging from a weak Eurozone, a deteriorating outlook for emerging markets and an increasingly febrile geo-political climate, it's little wonder that firms have been gradually scaling back their predictions for growth."