No sign of manufacturing recovery

The British Plastics Federation has responded to the figures released by the Office of National Statistics which show that UK manufacturing output was in back-to-back decline in the months of June and July.

The British Plastics Federation (BPF) has responded to the figures released by the Office of National Statistics which show that UK manufacturing output was in back-to-back decline in the months of June and July – the first time this has happened since October 2002.

Commenting on the figures, BPF’s Director General Peter Davis said, “The falls in UK manufacturing output in June and July just reinforces my great scepticism over the UK manufacturing recovery being trumpeted in EEF and CBI surveys,” he said.

“Anecdotal evidence from BPF members shows no great recovery in our plastics industry, which supplies all parts of the UK economy. There is however greater optimism about the future. But this can easily disappear with escalating raw material costs, higher energy costs (increases of 40%), increasing interest rates and higher insurance and pension costs,” he added.

Office of National Statistics figures showed that factory output fell 0.2% in July and 0.6% in June.