Contractors working within the UK’s manufacturing sector could see a wealth of opportunities as the industry enjoys a spike in activity.
The latest Chartered Institute of Procurement and Supply (CIPS)/Markit Purchasing Managers’ Index (PMI) reveals that manufacturers experienced the strongest growth in new business since July 2014. This helped bolster productivity, which also increased at its fastest rate for nine months.
Consumer goods led the charge, recording the steepest growth rates for output and new business of the three main industrial groups. Production in the division rose at its fastest pace since April 2014, while intermediate and investment goods producers also had a good month.
As a whole, the seasonally adjusted PMI climbed to 54.4 – its highest rate for eight months. It has now remained above the 50 mark that signifies growth for the 24th month in a row. The study also found that job creation within the sector has also increased for the 23rd month in succession.
David Noble, CIPS group chief executive officer, said: “The manufacturing sector has provided further evidence that the UK economy is in rude health as the index continued to show positive growth, with a glut of new orders and with production ramping up.
“Job seekers in the sector were offered continued hope as staffing levels rose again across the board – from corporate to SMEs. Increased numbers in employment supported the clearing of backlogs along with an increase in the speed of production growth.”
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