Andy Hall comments on the latest PMI figures

Andy Hall, head of corporate banking, Barclays, Central Scotland comments on the latest PMI figures:

“Although slightly down from August’s high, manufacturers continue to report healthy order books and encouraging levels of new investment and employment keeping output in positive territory last month. Yet, at a time when we are seeing the fastest pace of innovation in technology there has ever been, it’s frustrating to see manufacturing still stuck in a period of low growth. The benefits of a weak sterling and an improving global economy may not amount to much for the sector unless it invests more to improve efficiency and ramp up capacity. With cost pressures remaining elevated and margins being increasingly squeezed, it’s only a matter of time before manufacturers raise prices which will likely impact the domestic demand that has been fuelling growth in the sector.”