UK manufacturing output declines in January

Production fell in eight of the 13 manufacturing sub-sectors, according to figures from the ONS

Manufacturing output decreased by 0.5% in January, according to the latest statistics from the Office for National Statistics.

The Index of Production revealed there were decreases in eight of the 13 manufacturing sub-sectors. The manufacture of computer, electronic & optical products saw the biggest decrease in production, falling by 9.5% in January. This weakness followed an increase in output of 6.5% in December, due to high value contracts.

The manufacture of basic metals & metal products was the sub-sector with the largest contribution to total production, increasing 4.2% over the month.

The basic iron & steel industry was the main contributor to this increase, with a 26.8% increase in production, the largest increase since August 2013. Evidence suggested that the increase was mainly attributed to the increase in crude steel production.

Chris Sumner, the managing director of FANUC UK, said: "The decline reflects a long-term strategy of growth by manufacturers, investing in new and emerging technologies to enhance their production processes in the months to come.

"We're specifically seeing an increase in purchase orders for robotics, automation and CNC within the medical and auto component sectors," he added. 

Manufacturing output increased by 1.9% between January 2014 and January 2015. Output increased in eight of the 13 manufacturing sub-sectors compared with a year ago.