“Despite the pace of expansion in activity easing for the fifth month running this shouldn’t be overplayed. Behind the headline the figure the detail shows production, export orders and employment all still edging up, albeit at a more subdued pace than earlier in the year.
“However, with spending cuts now kicking in it is clear that any support to growth from the domestic market is likely to be minimal, which leaves UK manufacturers exposed to events in the global economy where persistent weakening of activity indicators across Europe and Asia would start to raise alarm bells about the UK’s prospects. The major conclusion from today’s numbers is that looks certain that the MPC will continue to sit on its hands for a while longer.”