UK PMI Manufacturing experienced a slight uptick, finalized 44.3 in September from the previous month’s 39-month low of 43.0. However, despite this marginal improvement, an in-depth examination of the five sub-indices of the PMI – new orders, output, employment, stocks of purchases, and supplier delivery times – revealed a consistent downturn in the sector’s performance.
Rob Dobson, Director at S&P Global Market Intelligence, portrayed a challenging scene for the UK’s manufacturing industry. “September saw the manufacturing sector still mired in contraction territory,” he noted. This is attributed to weakened conditions both domestically and internationally that have negatively impacted new order intakes, leading to reduced production volumes.
One of the significant factors exacerbating the situation is the ongoing cost-of-living crisis in the UK. A rapid increase in interest rates is further pressuring the manufacturing sector. Producers have explicitly linked these developments to the troubles they are encountering.
