Manufacturing figures show an improvement

The output of the UK’s manufacturing sector rose by 0.8% in the final quarter of 2009 on the previous quarter and was at its highest level for the year in the fourth quarter.

There was a 4.6% quarter-on-quarter rise in the engineering and allied industries and a 1.0% increase in base metals and other products. However, food, drink and tobacco showed a 2.2% fall and textile, leather and clothing posted a 3.2% quarterly fall.

For some reason the government statisticians at the Office for National Statistics nowadays gives more prominence to the monthly figures, which are very volatile and subject to change. These show that output in December was down by 1.9% on the same month a year earlier.

Output decreased in nine of the 13 manufacturing sub-sectors and rose in four sub sectors. The largest decreases in output were in the machinery and equipment industries which fell by 13.6% and the paper, printing and publishing industries which fell by 4.2%.

For the calendar year 2009, manufacturing output was down by 10.5% on the previous year.

Output of the production industries (manufacturing, mining and utilities) rose by 0.4% in the final quarter of 2009 on the previous quarter but on a calendar year basis was 10.2% down on 2008.

www.statistics.gov.uk/pdfdir/iop0210.pdf