Manufacturers positive about economic outlook

Date: 21st January 2010

Manufacturing businesses in the UK are more positive about the economic outlook for the first three months of 2010 than any other industry, new research has suggested.

Figures released by insolvency trade body R3 revealed that 53 per cent of firms in the manufacturing sector are confident about the next few months.

This compares to just two-thirds when the average opinion of all sectors is taken into account.

Peter Sargent, R3's president, said the figures were not surprising as businesses face dangerous times during the initial period of a recovery.

"Interestingly, businesses seem more confident about the future than insolvency experts," he said.

"Our figures show that, whilst 39 per cent of businesses are feeling positive about this quarter, only eight per cent of insolvency experts are positive about the outlook for businesses for the same period."

The research also revealed a north-south divide in regards to business confidence with 37 per cent of northern firms expressing confidence compared to 44 per cent of those based in the south.