23rd August 2011
The CBI, which represents 240,000 privately run British businesses said pricing pressures – i.e. the impact of inflation – had also eased.
Of the 510 manufacturers which took part in the CBI's August monthly Industrial Trends Survey, 29% said they were experienced levels of orders as above normal.
While 24% of firms said export order books were above normal, an equal 24% said they were below. While this looks neutral the CBI explained that the survey had scored -8% in July, with more businesses expecting falls than increases.
The main outcome of the survey was that expectations for growth in factory output have picked up.
Richard Woolhouse, the CBI's head of fiscal policy, said: "Manufacturing order books are holding up, and expectations for output growth are above their historical average, although they are less strong than earlier this year.