United Kingdom: Industrial output decreases further in November
January 10, 2014
In November 2013, industrial production recorded flat growth over the previous month in seasonally-adjusted terms, which marked a deterioration compared to the 0.3% increase recorded in October. November's reading was below the 0.4% increase the markets had expected.
The majority of the components that make up the industrial production index recorded a deterioration over the previous month. Manufacturing output was flat compared to the previous month, which was below the 0.2% rise recorded in October and undershot market expectations of a 0.4% increase. In addition, mining and quarrying fell 2.2%, which followed the 1.1% decrease observed in November. Oil and gas extracts fell 3.0% (October: -2.8% month-on-month). Conversely, electricity, gas, steam and air conditioning accelerated from a 1.1% increase in October to a 3.0% rise in November.
In annual terms, industrial production rose 2.5% in November, which was down from the 3.2% increase seen in the previous month.
FocusEconomics Consensus Forecast panelists project that industrial production will increase 2.0% in 2014, which is up 0.3 percentage points over the previous month's forecast. For 2015, the panel expects that industrial production will increase1.6%.
Author: Dirina Mançellari, Senior Economist