S&P Global UK Manufacturing PMI at 47.0 in January, up from 46.2 in December but below the earlier flash estimate of 47.3.
The PMI has signaled a deterioration in operating conditions in each of the past 18 months.
Four out of the five PMI sub-components – output, new orders, employment and stocks of purchases – were showing trends consistent with overall contraction.
Input costs and selling prices both rise.
Rob Dobson, Director at S&P Global Market Intelligence, said, “The downturn in UK manufacturing continued at the start of 2024, with output, new orders and employment all reduced in January. The contraction was widespread, with declines in all three variables seen across the consumer, intermediate and investment goods sub-industries. The ongoing weakness is leading to an increasingly costcautious approach at manufacturers, compelling cutbacks in purchasing and stock holdings as companies aim to achieve efficiencies, protect cash flow and defend fragile margins.”