Make UK comment on PMI data

Commenting on today’s PMI data, Fhaheen Khan, Senior Economist at Make UK, said:

“The slightly rosier view will have little meaning for many manufacturers who face an uncertain future while sitting in the eye of a storm surrounded by high energy prices, a lack of workers and challenging export conditions. Despite some businesses pushing on, many manufacturers are paralysed by the lack of certainty in the economic climate, leaving them in recessionary conditions and on the fence about investment plans.

“On the upside, there are indications that the rate of inflation is slowing which will give businesses some breathing room. However, as manufacturers attempt to repair their margins there is growing evidence that, in some sectors, redundancies are increasing as falling demand starts to impact growth plans. Unless certainty improves across industry it is likely this downward path is set to continue for the rest of the year.”