UK’s factory output recorded the highest growth in June. A quarterly survey of manufacturing conducted by the Confederation of British Industry (CBI) revealed that manufacturing across sectors has revived and gained momentum, as reported by local media.
Output growth over the past three months was aided by the recovery of export markets. Europe, China, the US, and the majority of Asian countries have lifted COVID-19 lockdowns and restraints supported the industrial output index growth over three months, taking the monthly index to its highest since the survey began in 1975.
The auto sector, particularly the passenger vehicle segment was among the top performers. The sector lagged amid production cuts in the prior year. CBI believes that the sector will continue to shine in the coming quarter.
Several manufacturing firms are likely to raise product prices in the coming months as supply shortages continue to hamper production.
Data suggests that in April, GDP has grown 2.3pc, but output in the production sector fell by 1.3pc, according to Office for National Statistics.