LONDON (Reuters) – British manufacturers expect a sharp fall in production in the next three months and there were widespread concerns about COVID and Brexit-related problems hampering the supply of parts and materials, a study showed Thursday.
The Confederation of British Industry ‘s quarterly measure of expected new orders fell to -17 compared with a reading of zero in the previous October survey.
New orders in the three months to January fell to -12 from +3.
Stocks were collected before Britain left the EU single market on 31 December
Almost half of the manufacturers surveyed – the highest share since January 1975 – were concerned that access to materials or components could limit their production over the next quarter.
“This appears to be linked to widespread COVID-related supply disputes, such as delays in overseas transport, worldwide vessel shortages, and ongoing impacts from disruption to production over 2020,” the spokesman said. CBI.
“Boundary challenges and delays in customs arising from Brexit appear to play a part.”
A monthly version of the survey showed that manufacturers in January expected their production volumes to fall from June last year when Britain emerged from their first coronavirus lock.
Reporting by William Schomberg, edited by Andy Bruce; Edited by David Milliken