Growth holds steady in the three months to October
UK private sector growth momentum was broadly unchanged in the three months to October, according to the latest CBI Growth Indicator.
The composite measure, based on 663 respondents across the distribution, manufacturing and service sectors, showed the balance of firms reporting a rise in output at +11% - the same pace of growth as the three months to September.
Growth was mixed across sectors – the pace eased in the distribution sector and to a lesser degree in manufacturing, while growth in consumer services picked up. Meanwhile, volumes growth among business and professional services firms was flat for a second month.
Looking ahead, a similar pace of growth is expected for the three months to November (+12%), underpinned again by growth in consumer services, distribution and manufacturing.
Rain Newton-Smith, CBI Chief Economist, said:
“Growth in the economy has remained relatively stable, although the pace of growth was a little slower than expected, particularly for retailers and manufacturers.
“With business and consumers grappling with uncertainty over the economic outlook and Brexit, the Government needs to intensify its focus on the domestic agenda. The CBI has called for a Budget that will enable the country to grow its way out of austerity, by implementing an industrial strategy that can drive up productivity and living standards.”