CBI: industrial output will grow by next year

City A.M. Reporter
UK FACTORY orders fell at their slowest pace in November for almost a year, while export demand was the strongest since April, the CBI&rsquo;s monthly industrial trends survey showed yesterday.<br /><br />The CBI survey&rsquo;s total order book balance rose to an 11-month high -45 per cent this month, up from -51 per cent in October, slightly better than analysts&rsquo; forecast of a reading of -47 per cent.<br /><br />A balance of four per cent of manufacturers expect to raise output over the next three months, while the rise in the export order book to -37 per cent took it to its highest level since April.<br /><br />&ldquo;The weaker pound has softened the blow for exports, but the ongoing lack of demand for manufactured goods reconfirms that any recovery will be anaemic,&rdquo; said CBI chief economics adviser Ian McCafferty.<br /><br />&ldquo;Expectations of marginal growth in output in the coming months are encouraging, but rising stock levels leave a question mark over the strength of demand,&rdquo; he added.<br /><br />Economists said the survey was good news, as was an expansion of industrial production in the fourth quarter for the first time since late 2007.