CBI: UK growth accelerates to 12-month high
The CBI’s latest Growth Indicator shows UK growth quickeing in all three main sectors. The trend was modest in the manufacturing sector and strong in the retail sector, but business & professional services was the stand-out performer, recording its fastest growth in volumes since early 2006. The sector was the main driver of the overall acceleration in growth.
The Growth Indicator reading of +33% for the three months to May was sharply up on the three months to April (+19%). In the next three months, the CBI expects the swift pace of growth to continue but the balance between sectors is likely to change. Responses from firms indicate that the stellar growth in the business & professional service sector will slow alongside stronger growth in the consumer services, retail and manufacturing sectors.
The balance of expectations for output growth over the next three months (June – August) is +30%. That is the strongest expectation since August last year (+38%).