Skip to main content
UK Edition

Friday, 14 August 2026

Trade News UK

The latest UK news, business, transport and more

Shopping

UK factory orders remain in doldrums, cost pressures jump, CBI says

UK factory orders remain in doldrums, cost pressures jump, CBI says

LONDON, July 23 (Reuters) – British manufacturing orders continued to deteriorate in July at the joint-fastest rate ​since September 2020, during the ‌COVID-19 pandemic, according to a survey on Thursday that also showed cost pressures rose.

The Confederation of British Industry’s monthly ‌order ​books balance held at -45 ⁠in July, its ⁠joint-lowest since the pandemic.

“We’re seeing manufacturers being squeezed from both sides. Costs continue to climb while weak ​demand limits their ability to raise prices – leaving firms to ⁠absorb the pressure through ⁠shrinking margins, weaker investment ​and further cuts to employment,” said Ben ​Jones, CBI lead economist.

“If the new ‌administration is serious about re-industrialising Britain, restoring industrial competitiveness must be one of its first priorities.”

The ⁠CBI’s quarterly data showed a rapid rise in cost pressure for manufacturers in the ⁠three ‌months to July, with unit ⁠costs jumping at the ​fastest ‌pace since the three months ​to October ⁠2022.

The monthly data showed expectations for output in the next three months rose slightly to -30 from -31 in June.

(Reporting by Suban Abdulla, editing by ​Andy Bruce)