United Kingdom: Industrial production dips in January
March 10, 2017
Industrial production decreased 0.4% in January over the previous month, contrasting the revised 0.9% rise recorded in December (previously reported: +1.1% month-on-month) and in line with analysts’ expectations. The decline was largely driven by the highly erratic pharmaceuticals sector, which often sees significant monthly swings due to the delivery of large contracts, causing the manufacturing sector to contract. The water supply, sewerage and waste management sector also declined in January compared to the prior month. On the other hand, the mining and quarrying and electricity, gas, steam and air conditioning sectors enjoyed healthy growth in January.
Industrial production increased a solid 3.2% over the same month of the previous year in January, down from December’s 4.3%, while annual average growth in industrial production picked up from 1.2% in December to 1.4% in January.
Author: Oliver Reynolds, Economist