United Kingdom: Industrial production data disappoints in February
April 10, 2017
Industrial production decreased 0.7% in February over the previous month, down from the revised 0.3% contraction recorded in January (previously reported: -0.4% month-on-month) and surprising analysts, who were expecting a small increase. The result was driven by declines in the manufacturing, water supply, sewerage and waste management, mining and quarrying and electricity, air, steam and air conditioning sectors. The latter suffered the most significant fall, largely due to unseasonably warm weather. Markets didn’t take the figures well, with the pound losing ground against the dollar as a result.
Industrial production increased 2.8% in February, down from January’s revised 3.3% (previously recorded: +3.2% year-on-year), while annual average growth in industrial production picked up from 1.4% to 1.7%.
Author: Oliver Reynolds, Economist