The Confederation of British Industry (CBI) has announced the findings of a study of 460 manufacturing firms showing outputs are in decline, especially in the South.
An estimated 18,000 manufacturing jobs will be lost in the second quarter of the year, mainly in the south east and London, south west and east of England. However companies in Wales are bucking the national trend by expressing confidence in their business prospects.
The CBI’s head of economic analysis Lai Wah Co said: ‘Welsh firms actually feel extremely upbeat after a very strong quarter, whereas the story in the South is of falling demand, shrinking output and declining jobs.’
Experian’s Peter Gutmann, who helped with the study, said: ‘The pound’s 14 per cent depreciation against the Euro over the past year is helping to support manufacturing exports at a time when eurozone growth is faltering.’
‘This is the one bright spot in a fairly downbeat picture. Without this, manufacturers would be facing tougher conditions.’