Commenting on today’s GDP data, Seamus Nevin, Chief Economist at Make UK, the manufacturers’ organisation, said:
“Manufacturing output fell 1.7% in November, partly reflecting car factories shutting down again to avoid disruptions in the run up to the then-postponed October 31st Brexit deadline, combined with lower demand from overseas customers nervous that the UK would crash out of the EU without a deal.
“That scenario has now been avoided and the election has provided some clarity for business and customers on what to expect over the next few months. That should help some firms to start investing again but it will take time for activities to get back to normal. Today’s news will add to business calls to cut borrowing costs and for some fiscal stimulus to get the ball rolling.“