UK factory output grows at its fastest pace since September 2024 as input costs climb
S&P Global's manufacturing PMI hit a five-month high of 52.8 in October, but employment stopped growing and the cost squeeze tightened days before the Bank of England's decision.
By Daily Oracles News Team1 min read
British manufacturers began the final quarter with their quickest rise in output since September 2024, S&P Global's monthly survey showed on Monday, though employment stopped growing after six months.
The Purchasing Managers' Index climbed to a five-month high of 52.8 in October from 51.9 in September, in line with the flash estimate. Growth in new orders was the strongest since July. S&P Global said firms were responding to better demand at home and overseas, including new work from mainland China, the EU and the US.
Staffing went the other way. Firms, smaller ones especially, blamed the end of six months of job growth on high staff costs and rising input prices.
Those input prices rose at the fastest rate since June and at one of the fastest paces in four years. Suppliers' delivery times have also rarely lengthened so much in that period.
The data was collected between 12 and 27 October, so it predates the Budget.
The Bank of England announces its rate decision on Thursday 5 November, and Reuters reported that it looks set to raise interest rates.
