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UK Manufacturing PMI Hits 6-Month High on Brexit Boost

Published 01/02/2019, 04:31 AM
Updated 01/02/2019, 04:36 AM
© Reuters.

Investing.com - Activity in the UK manufacturing sector accelerated to a six-month high in December, as British companies prepared for uncertainties surrounding the UK's departure from the European Union in just three months.

Research firm IHS Markit said its manufacturing purchasing managers’ index rose to 54.2 in December, compared to forecasts for a reading of 52.6.

The prior month’s reading was 53.6.

“December saw the UK PMI rise to a six-month high, following short-term boosts to inventory holdings and inflows of new business as companies stepped up their preparations for a potentially disruptive Brexit,” IHS Markit director Rob Dobson said.

“Uncertainties regarding Brexit disruption on supply chains and the exchange rate are also weighing on business confidence (…) Manufacturing will therefore be entering 2019 on a less than ideal footing with Brexit uncertainty having intensified considerably ,” he concluded.

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