• UK industrial production continued to decline in September

Market news

11 November 2019

UK industrial production continued to decline in September

Office for National Statistics said, UK production output fell by 0.3% between August 2019 and September 2019. Economists had expected a 0.2% decrease. Manufacturing provided the largest downward contribution (0.4%), followed by electricity and gas (0.5%).

The 0.4% monthly decrease in manufacturing output was widespread with falls in 8 of the 13 subsectors; the largest downward contribution came from a 5.1% fall in basic pharmaceutical products.

Total production output was flat at 0.0% for Quarter 3 (July to Sept) 2019, compared with Quarter 2 (Apr to June) 2019; manufacturing output was also flat at 0.0%, with falls in mining and quarrying (1.7%) and electricity and gas (0.7%), offset by a rise in water and waste (1.2%). Negative contributions to quarterly growth by eight of the subsectors is almost wholly offset by notable strength from transport equipment (6.2%), mainly because of significant weakness during Quarter 2 2019, rather than notable strength during Quarter 3 2019.

For Quarter 3 2019, production output decreased by 1.4% compared with Quarter 3 2018; led by a fall in manufacturing of 1.4% and supported by falls in mining and quarrying (5.3%) and electricity and gas (1.0%).

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