Manufacturing businesses across the UK are discovering a silver-lining to sterling’s recent underperformance, as demand for British goods grows at fastest rate since 2014, according to an EEF survey*.
61% of organisations said they’d noticed an increase in orders from Europe, as an improved world economy and more competitive exchange rate drove sales on the continent. Experts are also predicting higher import prices on overseas goods will have a similar effect on domestic demand.

The positive trend occurred despite market uncertainty following the referendum and the EEF have responded by changing production forecasts for the next two years – up to 1.3% and 0.5% respectively, from 1.0% and 0.1%.

Despite the celebratory nature of the announcement, EEF’s chief economist Lee Hopley warned that “a bold industrial strategy” needed to be “set in stone” to combat “the challenge of managing input cost increases, ensuring success in attracting and retaining the skills that are in increasing demand and driving up investment”.

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*Sky News: UK manufacturing boosted by surge in demand for British goods