CCR Magazine

Commenting on the manufacturing output figures for January 2010, David Kern, Chief Economist at the British Chambers of Commerce (BCC), said:

“The new figures were worse than expected, even after making allowances for the adverse effect of January’s bad weather. There is now a serious possibility that GDP in the first quarter of this year will show a slowdown compared with the last quarter of 2009.

“A manufacturing recovery is crucial in order to secure the much-needed rebalancing of the UK economy towards exports and investment. The competitive sterling exchange rate provides manufacturing with the necessary advantage to stage a meaningful recovery.

“The sector must be better supported, access to finance improved, and steps taken that help firms to preserve their skills base – starting with the cancellation of the increase in NICs, planned for 2011.  We expect the government to address these issues in the Budget.”

(Source - BCC Press Release)