Manufacturers ride out Brexit with jump in output

Britain's manufacturers brushed off the Brexit vote to put a spring in their step last month, with output hitting its highest level for more than two years.

By The Newsroom

Published 4th Oct 2016, 06:57 BST

Updated 5th Oct 2016, 14:43 BST

This article contains affiliate links. We may earn a small commission on items purchased through this article, but that does not affect our editorial judgement.

Manufacturing output hit its highest level for more than two years. Picture: John Devlin

The latest Markit/Cips purchasing managers’ index (PMI) – where a reading above 50 indicates growth – reached 55.4 in September, up from 53.4 in August.

It was the best output performance since June 2014, and a significant improvement since the index fell to 48.3 in July, the first month after Britain voted to leave the European Union.

Economic growth upgraded as services defy Brexit fears

Rob Dobson, senior economist at IHS Markit, said: “The rebound over the past two months has been encouragingly strong, and puts the sector on course to provide a further positive contribution to GDP in the third quarter (to end-September).”

The survey said exports were helped by the fall in the value of the pound against the dollar and euro in the wake of the Brexit vote.

Click here to ‘Like’ The Scotsman Business on Facebook