United Kingdom: Industry decelerates in December
January 9, 2015
In December, industrial production fell 0.2% over the previous month, which was a deceleration over the revised flat reading observed in November (previously reported: -0.1% month-on-month). December’s figure came in below the 0.1% contraction the market had expected.
Manufacturing decelerated from a 0.8% increase in November to a 0.1% rise in December. Mining and quarrying contracted 1.4% in December, which came in above November’s 2.9% contraction. In addition, the oil and gas extraction sector contracted 3.1% (November: -4.5% mom). Conversely, electricity, gas, steam and air conditioning swung from a 1.0% decrease in November to a 0.6% increase in December.
In annual terms, industrial production rose 0.5% in December, which was a deterioration over the 1.1% rise seen in the previous month. Annual average growth inched down from 1.5% in November to 1.4% in December and now stands at its lowest level in six months.
Author: Dirina Mançellari, Senior Economist