Growth eases fear of a double dip
Thursday 02 February 2012
Britain's manufacturers dusted themselves down in January after a grim pre-Christmas run with the strongest growth for eight months, according to yesterday's barometer of the sector's fortunes.
Manufacturing output shrank 0.9 per cent in the last quarter of 2011 as the economy overall shrank by 0.2 per cent.
But the latest Chartered Institute of Purchasing & Supply/Markit survey showed signs of life last month as its activity index hit 52.1, the best since last March.
A score over 50 on the index signals expansion.
If sustained, the improvement should help the UK avoid another quarter of economic contraction and a technical double-dip recession.
The more upbeat tone of the Cips survey, which features rising new orders and easing price pressure on firms, may also persuade Bank of England rate-setters to vote for a smaller dose of money printing than expected at their policy meeting next week.
David Noble, Cips chief executive, said: "The UK manufacturing sector has sprung to life in the first month of 2012 to defy any economic gloom, but it is too early to say whether this trend is sustainable."
Notes from a small island: Is Sealand an independent 'micronation' or an illegal fortress?
Briton arrested after children's throats slit in France
World news in pictures
'Swivel-gate': David Cameron at war with press over 'swivel-eyed loons' slur
Revealed: Eerie new images show forgotten French apartment that was abandoned at the outbreak of World War II and left untouched for 70 years
- 1 Heading for America? Prepare for the longest US immigration queues ever
- 2 Notes from a small island: Is Sealand an independent 'micronation' or an illegal fortress?
- 3 You thought Ryanair's attendants had it bad? Wait 'til you hear about their pilots
- 4 'Swivel-gate': David Cameron at war with press over 'swivel-eyed loons' slur
- 5 It’s official: thanks to Stephen Hawking's Israel boycott, anti-Semitism is no more
BMF is the UK’s biggest and best loved outdoor fitness classes
Find out what The Independent's resident travel expert has to say about one of the most beautiful small cities in the world
Win anything from gadgets to five-star holidays on our competitions and offers page.
iJobs Money & Business
£550 - £600 per day: Orgtel: Fidessa Analyst / PM - Banking - London - Up to £...
£450 - £500 per day: Orgtel: Sourcing Manager - Banking - London - Up to £500p...
To be discussed at interview.: Queen Elizabeth's School: An experienced and ef...
£294.05 - £330.92 per day + 150 per day travel and accommodation: Orgtel: A le...