The survey of 482 firms found that total order books were at a 20-month high, while export order books softened for a second successive month but remained above historical norms.

Growth in output was the highest since mid-2014 and was broad-based. Just 4 of the 18 sectors reported a fall in production, with mechanical engineering and the aerospace sectors the main drivers of the improvement. Expectations for production growth in the first quarter of 2017 remain solid.