The UK’s economic growth is ‘stalling’ amid a ‘manufacturing slowdow’, warns the British Chambers of Commerce.
The BCC’s most recent Quarterly Economic Survey gave evidence that the balance of manufacturing firms reporting improved domestic orders had decreased to a seven-year low. The balance of businesses reporting an increase in export sales also fell to a three-year low.
Rising business costs, ‘tougher global trading conditions’ and Brexit uncertainty are adversely affecting the UK economy, claims the BCC.
Despite this, a significant number of services sector firms reported higher domestic sales and orders.
Suren Thiru, Head of Economics at the BCC, stated: “‘These results indicate that underlying economic conditions in the UK remain decidedly downbeat, with intensifying uncertainty over Brexit, the rising costs of doing business in the UK and a sluggish global economy combining to suppress key drivers of growth.”
Quote from Nigel Holland:
“It seems that Britain’s departure from the EU is already causing damage to business’ exports. This could be a sign that UK businesses are already adapting to the loss of sales to other countries that Brexit could possibly cause.”