UK manufacturers’ hopes for rebound strongest since 1973

British manufacturers’ expectations of a rebound from the economic slump caused by the COVID pandemic rose to their highest in almost 50 years this month, the Confederation of British Industry said on Thursday.

The CBI said its quarterly survey of manufacturers also pointed to a recovery in investment and hiring plans and continued concerns about higher costs.

“Phased reopening has lifted the mood among firms, notably driving orders, employment, and investment plans,” CBI chief economist Rain Newton-Smith said.

However, the CBI’s separate monthly survey of manufacturers was somewhat less upbeat, with the monthly manufacturing orders expectation balance falling to -8 from +5, against average expectations in a Reuters poll for an increase to +2.