UK manufacturing activity has grown at the fastest rate for 16 years according to figures released by the Chartered Institute for Purchasing and Supply (CIPS), which represents thousands of industrial managers.
The Chartered Institute of Purchasing and Supply (CIPS) said its Purchasing Managers' Index rose to 54.9 from September's 10-month low of 53.5.
With a figure of 50 or above indicating growth, it is a sign of renewed strength in the manufacturing sector.
Yet, CIPS said firms also seemed concerned about future inflation.
UK manufacturing PMI dipped from a 15-year high of 58 in May to 57.5 in June, according to the latest Markit/Chartered Institute of Purchasing and Supply survey.
Export order growth fell to 50.7 from 56.7 in May.
It was only last month that I stated, in a piece for the Manufacturing Advisory Service (MAS) e-bulletin, that although the outlook for 2010 was encouraging, it was important to remember that the UK economy was still not free from the financial strain of the recession.
The CIPS/Markit Purchasing Manager's Index (PMI) for manufacturing reports continued growth in the UK economy, but still raises questions over the sustainability of the improvemen
Manufacturing activity grew at its fastest pace in two years in October as orders rose and firms started to rebuild their stocks, the CIPS/Markit PMI survey showed today.
The Purchasing Managers' Index rose from 49.9 in September to 53.7 in October. The reading was its highest since November 2007.
The UK's manufacturing sector showed an unexpected drop for the second month in a row, following a decline in factory activity, the Chartered Institute of Purchasing & Supply's (C
The CIPS/Markit manufacturing purchasing managers' index rose to 47.0 last month from 45.4 in May - the highest since May 2008 - beating most analysts' forecasts which predicted a more modest improvement.