UK PMI Manufacturing was finalized at 52.8 in June, down from May’s 54.6, a two-year low. S&P Global said output growth slowed to near-stagnation pace as new orders intakes fell for the first time since January 2021. Price inflation remained elevated despite further easing.
Rob Dobson, Director at S&P Global Market Intelligence, said: “UK manufacturing output growth ground to a near standstill in June, as intakes of new work contracted for the first time since January 2021. Domestic market conditions became increasingly difficult and foreign demand fell sharply again… Business confidence took a hit as a result, dipping to its gloomiest since mid-2020…
“There were some welcome signs that supply-chain constraints and cost inflationary pressures may have passed their peaks. However, with these constraints still elevated overall and demand headwinds rising, it is likely that UK manufacturing will see the economic backdrop darken further in the second half of the year.”
