The slowdown reflected weaker gains in both output and new work, whilst there was only a slight increase of employment as previous capacity pressures subsided. Confidence improved, however, reaching a three-month high.

The IHS Markit Spain Manufacturing PMI – a composite single-figure indicator of manufacturing performance – declined to 51.1 in December. Down from November’s 52.6, the latest PMI reading was the lowest recorded by the survey since August 2016 although, by remaining above the crucial 50.0 no-change mark, the headline index was able to extend its run of growth to over five years.