United Kingdom: Manufacturing PMI inches up in May
June 2, 2015
The manufacturing Markit/CIPS Purchasing Managers’ Index (PMI) increased from 51.8 in April to 52.0 in May. As a result, the index remains firmly entrenched above the 50-threshold that separates expansion from contraction in business conditions. The index has been in positive territory since February 2013.
According to Markit/CIPS, May’s result came on the back of a further increase in manufacturing output. Nevertheless, the rate of job growth was only marginal. Markit/CIPS added that, “where growth is being reported by manufacturers, this remains heavily dependent on the domestic market, and consumer demand in particular. The challenge therefore remains for the new government to take the necessary steps to revive manufacturing.”
Author: Dirina Mançellari, Senior Economist