UK’s factory orders hint at modest growth

BRITISH manufacturers are predicting modest growth in the next three months after a better-than-expected improvement in factory orders.

The latest monthly industrial trends survey from the CBI suggests the economy might emerge from double-dip recession, though the CBI also warned that challenging months lay ahead. Anna Leach, the group’s head of economic analysis, said the stronger results followed a period of firmer demand for goods both at home and abroad.

“But uncertainty is expected to build through the autumn – with key decisions to be made in the eurozone and the approach of the US fiscal cliff – meaning that conditions are likely to remain difficult for UK manufacturers,” Leach added.