·         Manufacturing output in January 2016 was up 0.7% on the month, but down 0.1% on the year

·         Total industrial production in January was up 0.3% on the month, and up 0.2% on the year

Commenting on the UK Index of Production and Manufacturing figures for January 2016, published today by the ONS, David Kern, BCC Chief Economist, said:

“While ONS figures show manufacturing growth was better than expected in January, other evidence - including the BCC’s Quarterly Economic Survey - suggests that the sector is still struggling, and on an annual basis output remains in negative territory.

“The UK economy will have to continue to rely on its dynamic and flexible services sector for the next few years, which will continue to be the main driver of growth.


“Although a small part of total output, the manufacturing sector remains critical to the economy’s wellbeing in critical areas such as productivity, innovation and exports. The government has an opportunity in its upcoming Budget, in areas such as business rates reform, to help make the sector more competitive and win more business overseas.”