UK manufacturing bounces back
1 min read
The UK manufacturing sector has bounced back after a lacklustre spring affected by bank holidays and the effects of disruption to supplies brought about by the Japanese earthquake.
According to official figures published today (7 July) manufacturing's performance in May shows an annual increase of 2.8% compared to the same month a year ago. Output increased in 10 of the industry's 13 sub-sectors, with the largest contributions being made by the food and drink, machinery and equipment and the transport equipment industries.
Between April and May 2011, manufacturing output increased by 1.8%. The Office for National Statistics said that feedback from companies has indicated the sales figures are returning to normal levels after a dip in April that was attributed to the extra bank holiday and the after effects of the Japanese tsunami
Commenting on the data, EEF chief economist Lee Hopley said the figures suggested that the ground manufacturing lost in April due to the disruptions had been made up in May, tempering recent concerns about a significant loss of momentum in the industry's recent period of recovery. However, she warned there was "still plenty of potential further challenges on the horizon, not least the prospect of a slowdown in demand from emerging markets and ongoing crisis management in the eurozone."
