Published by Global Banking and Finance Review
Posted on December 18, 2024
LONDON (Reuters) - British manufacturers reported the biggest fall in output in late 2024 since the COVID-19 pandemic and they are even more downbeat about the start of next year, according to a survey that adds to signs of a loss of momentum in the economy.
The Confederation of British Industry said a gauge of output over the three months to December in its monthly industrial trends survey - published on Wednesday - fell to -25, its lowest since August 2020, down from -12 in the three months to November.
Expectations for output over the coming three months dropped to -31, the weakest since May 2020, from +9.
Other surveys have shown a loss of confidence among British employers after finance minister Rachel Reeves announced an increase in social security contributions that firms must pay on in her first budget on Oct. 30.
Official data has shown Britain's economic output contracted in September and October in the run-up to the budget.
The CBI's measure of expectations among firms for how much they will increase the prices they charge over the next three months rose to +23 from +11 in November.
The survey was based on the responses of 331 manufacturers and was conducted between Nov. 25 and Dec. 11.
(Writing by William Schomberg; editing by David Milliken)
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