UK manufacturing activity expanded more quickly than initially anticipated in December and supply chain constraints eased a little.
Source: IHS Markit
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The IHS Markit/CIPS manufacturing purchasing managers’ index for December was 57.9, an increase from the preliminary figure of 57.6, and not further away from November’s three-month high of 58.1.
Manufacturing output across the consumer, intermediate and investment goods sector in December expanded to a four-month high.
Rob Dobson, Director at IHS Markit stated that UK manufacturing production expanded at the quickest pace in four months in December, backed by increased intakes of new work and higher employment.
UK manufacturers maintained a positive outlook at the close of 2021. 63% of the surveyed firms anticipate that production would increase over the next 12 months.
Inflationary pressures remained high, with prices charged by factories rising at their fastest pace on record.