A business survey of 364 companies showed on Monday that British manufacturers are pessimistic that the recovery from the coronavirus pandemic will be V-shaped, with many of them saying they would slash investment. The survey’s gauge on investment intentions fell from -26% to -32%, near the lowest point recorded during the global financial crisis.
An official with the Make UK industry association, which conducted the survey, said manufacturers had begun a climb from the deep coronavirus abyss, but it is expected to be a long haul before reaching normal trading conditions. He added that a failure in Brexit deals with the EU would be a final nail in the coffin from some manufacturers.
Official data published earlier this month showed Britain’s manufacturing production remained 8.7% lower than its pre-pandemic level in July. The survey also revealed that indicators related to manufacturers’ employment expectations deteriorated, but indicators of future output improved.
