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Manufacturing growth exceeds expectations

Published 12th May, 2010 by Neil Nixon

Manufacturing growth exceeds expectations

UK manufacturing bounced back in February, after cold weather and the withdrawal of government stimulus measures hit output during January. Production surged by over 1%, well above the 0.5% forecast by economists, the Office for National Statistics reported.

The recovery after the cold snap in January bodes well for the final first-quarter growth figures, adding to optimism that the economic recovery is gathering pace.
Meanwhile, manufacturing output recovered even more rapidly, rising 1.3% in the month compared with a 0.7% forecast. The increases are a much needed boost to an industrial sector that has been one of the hardest hit parts of the economy during the recession, with industrial output remaining 13% below its peak level in 2007.

”The rebound in February was very welcome after the bad weather in January put the brakes on our recovery at the start of 2010,” said Steve Wright, chairman of the British Cleaning Council. “These figures will add to the feelings of optimism in the business world that Britain’s recovery is back on track. Better economic prospects in both here and abroad coupled with a weaker sterling should ensure that cleaning manufacturers will play a key role in an export-led recovery.”