According to the latest quarterly CBI Industrial Trends Survey, which was released in January 2018, UK manufacturing growth accelerated over the last three months. The survey of 369 manufacturers revealed that optimism about both business conditions and export prospects improved at an above-average pace. However, skill shortages are high on firms’ agendas, with the number of firms citing skilled labour as a factor likely to limit output over the next three months the highest for more than four decades. And overall capacity pressures are biting hard: the proportion of firms with spare operating capacity was the lowest in 29 years.

Rain Newton-Smith, CBI Chief Economist, said: “It’s good to see manufacturing going from strength-to-strength with growth up and the buoyant global economy boosting export orders. But the past depreciation in Sterling continues to leave its mark on firms’ costs and margins. With expectations for factory gate price inflation at their highest in 30 years, the pressure on consumer prices looks set to persist.

“Capacity pressures are ramping up and skill shortages are a big concern, underlining the importance of establishing a future immigration system that provides companies with access to talent and labour.”

（Excerpt from Manufacturing-Today）

http://www.manufacturing-today-europe.com/2018/02/15/ups-and-downs/