Financial Times FT.com

Grim outlook for UK manufacturing sector

By Friederike Tiesenhausen Cave, Economics Reporter

Published: July 6 2005 15:01 | Last updated: July 6 2005 15:01

Britain’s manufacturing sector recovered marginally in May but remained firmly on course for a recession in the light of higher raw material prices as well as lower consumer and export demand.

Output in May grew slightly against expectations of a fall but the underlying trend growth rate worsened further. Output in the three months to May was 1.9 per cent below that in the previous three months compared with 1.6 per cent in April, the Office for National Statistics said on Wednesday.

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