Manufacturing Output Lifts Production

The quarterly analysis of the index of production published by the ONS shows that production increased by 0.2% between Q2 and Q3 2014. The growth was mainly due to manufacturing which increased by 0.4%.

The annual comparison estimates that total production output increased by 1.5% between September 2013 and September 2014. Manufacturing was the only sector to record a rise with an increase of 2.9%.

On a month by month basis total production in September 2014 was said to have increased by 0.6% when compared with August 2014. Three of the main sectors reported growth with mining and quarrying being the main contributor with growth of 3.8%.

Manufacturing output increased by 0.4% between August and September 2014 and the main sub-sectors responsible were transport equipment, computer, electronic and optical products and chemicals and chemical products.

Manufacturing Helps Index To Grow By 3%

Output increased by 3% over the year between April 2013 and April 2014 according to a statistical bulletin released by the ONS. All the main sectors increased over the year except electricity, gas, steam and air conditioning. Manufacturing increased by 4.4%.

The main components that contributed to the increase in the manufacturing production index were rubber, plastic and other non-metallic mineral products, transport equipment and food, beverages and tobacco.

The monthly comparison shows that production increased by 0.4% between March 2014 and April 2014. Output dipped in two sectors and the largest contributor to this was mining and quarrying with -1.1% then water supply, sewerage and waste management with -0.7%. Manufacturing increased over the month by 0.4% due to increases in transport equipment, computer electronic and optical products and rubber, plastic and other non-metallic mineral products.

Production Output Up By 0.7%

Production increased by 0.7% between Q4 2013 and Q1 2014 according to statistics from the ONS. The largest contribution to the growth in production came from manufacturing which increased by 1.4%.

Over the year between March 2013 and March 2014 output increased by 2.3%. The main contributors to the growth were manufacturing 3.3%, water supply, sewerage and waste management 12.1% and mining and quarrying with 3.1%.

Between February 2014 and March 2014 production output decreased by 0.1% with decreases in two of the main sectors: mining and quarrying with a decrease of 2.8% and water supply, sewerage and waste management with 2.1%.

Manufacturing and the production of electricity, gas, steam and air conditioning increased by 0.5% over the month between February and March 2014 whereas the production of electricity, gas, steam and air conditioning was the only sector to report a decrease over the year from March to March.

Output Increase Of 2.7%

There were increases in production output of 3.8% in manufacturing, 8.5% in water and waste management and 0.2% in mining and quarrying which contributed to the increase of 2.7% in total production output over the year between February 2013 and February 2014. Only electricity, gas, steam and air conditioning reported a decrease of 8.8% due it was thought to this year's warmer February.

The main manufacturing sectors that added to the increase over the year were rubber and plastic products, transport equipment and machinery.

Total production over the month between January and February 2014 increased by 0.9% mainly due to increases in the manufacture of pharmaceuticals, transport equipment and food, drink and tobacco.

Output Up By 2.9%

Production output increased by 2.9% over the year to January 2014. Manufacturing, the largest component of production figures, increased by 3.3% and water supply, sewerage and waste management increased 12.6%.

Of the manufacturing components, the main contributors to the 3.3% increase were rubber, plastic products and other non-metallic mineral products manufacturing, the manufacture of machinery and equipment not elsewhere classified and the manufacture of transport equipment.

Production output increased by 0.1% over the month between December 2013 and January 2014. All sectors increased except mining and quarrying which decreased by 3.4%. The remaining sectors all of which reported an increase grew by 0.4%.

The main components contributing to the increase over the month were the manufacture of rubber, plastic products and other non-metallic mineral products, the manufacture of machinery and equipment not elsewhere classified and other manufacturing and repair.

The second estimate of GDP suggested the economy grew by 0.7%. Three of he four main groupings experienced growth with agriculture experiencing a decline of 0.1%. Services and construction grew by 0.8% and 0.2% respectively. Services continues to be the main contributor to growth.

Steel Helps UK Production Increase 2.5%

Output rose by 2.5% over the year to November 2013 according to the ONS reflecting rises in manufacturing output and output in mining and quarrying and the water, sewerage and waste management sectors. The main contributors to the increase in manufacturing output were the manufacture of transport equipment, other manufacturing and repair and the manufacture of basic metals and metal products. Iron and steel made he largest contribution to the increase with growth of 34.3%, its highest since records began in January 1998.

Biggest Fall In Agricultural Productivity Since 1985

Total factor productivity figures from Defra suggest that the agricultural industry has seen a fall of 2.9% between 2011 and 2012 giving the lowest level since 2007 and it is the biggest single year fall since 1985. The poor levels of productivity reflect the poor weather conditions according to Defra.

The picture can be looked at over the longer period. Between 1986 and 2012 the volume of final output has remained fairly stable and the volume of all inputs and entrepreneurial labour has fallen by 19%. Looking at it that way total factor productivity has increased by 21%. This is he first Defra release to use 2010 as the base year for total factor productivity.

First Estimate Of GDP Shows Growth Of 0.8%

GDP growth is estimated to have increased by 0.8% in Q3 2013 compared with Q2. Output increased in all four main industrial groups. Agriculture increased by 1.4%, production by 0.5%, construction by 2.5% and services by 0.7%. The yearly comparison shows that growth is 1.5% up on last year.

GDP Growth 0.6%

The monthly estimates of GDP calculated by the NIESR suggest that GDP output grew by 0.6% in the three months to June following three months of output growth at 0.6% to May. These figures also suggest that there was economic growth of 0.6% per quarter in Q2 2013 from 0.3% during Q1 2013.

Agricultural output has remained stable at 98.1 since March though there has been growth quarter-on-quarter by month, construction has grown slightly month-on-month since March to 91.4, private services has also growth in the same way to 105.3 and public services continues to grow as it has done since December to 103.7.

Sharp Fall In Productivity

The latest labour productivity statistics from the ONS show that productivity on an output per hour basis fell by 1.3% in the first quarter of 2012. Market sector productivity fell by 1.6%.

Labour productivity in the services sector fell by 0.4% and it fell by 2.6% in manufacturing, the sharpest fall since Q4 2008. Production sector productivity as a whole fell by 2.7%.

Unit labour costs increased by 1.4% in the first quarter. In manufacturing unit labour costs increased by 2.1%.

The GVA measure of output fell by 0.4% during Q1 2012. During the same period the number of workers and jobs increased by 0.4% and the number of hours worked increased by 0.9% resulting in a sharp fall in output per job over the period.

GDP Decline Estimates Unchanged At 0.3%

The previously estimated fall in GDP in volume terms of 0.3% remains unchanged in the third estimate of GDP, the Quarterly National Accounts (QNA) from the ONS. Production output fell by 0.5%, with manufacturing falling 0.3%, services output increased by 0.2%, while construction fell 4.9%.

Fall Of 0.2% In GDP

The preliminary estimates of GDP published by the ONS show that GDP fell by 0.2% in the first quarter of 2012. Output fell in the production and construction indistries by 0.4% and 3% respectively but services grew by 0.1% following a decrease of 0.1% in the previous quarter. A closer analysis shows that the decreases in the production industries were driven by mining and quarrying and manufacturing. An increase in retail and food and beverage services contributed to the 0.1% increase in the distribution, hotels and restaurants sector and computer programming, consultancy and related services and motion picture, video and television production also made a significant contribution to the increase of 0.4% in transport, storage and communication. Financial services made the biggest contribution to the 0.1% decrease in business services and finance and health and sports activities, amusement and recreation made the biggest contribution to the 0.2% increase in government and other services. Agriculture, forestry and fishing fell by 1.9%.

GDP Down 0.3%

GDP fell by 0.3% in Q4 2011 according to the quarterly national accounts (QNA) bulletin from the ONS. In volume terms GDP increased by 0.7%.

Production output fell by 1.3%, services output by 0.1%. Household consumption increased by 0.4%. Compensation of employees increased by 0.9%. Agricultural output fell by 1.5% in Q4 2011 compared with a decrease of 0.5% in Q3. Services output decreased by 0.1% compared with an increase of 0.8% in Q3. Services output increased by 1.6% over 2011.

Analysed in term of expenditure, GDP decreased by 0.5% in Q4 2011. Household final consumption increased by 0.4% compared with a decrease of 0.3% in Q3. The largest increase in spending was in miscellaneous services driven by life assurance and other services. Recreation and culture increased during the quarter but rises were offset by falls in spending on housing with electricity, gas and other fuels reporting the largest fall. Over the year of 2011, household final consumption fell by 1.2%.

Income categories analysis shows GDP at current market prices rose by 0.6% compared with a 0.9% increase in Q3. While compensation of employees rose by 0.9% in Q4 over the year 2011 it increased by 2.1%. The gross operating surplus of corporations fell by 1.3% over the quarter and grew by 0.2% over 2011, private non-financial corporations rose by 2% over the quarter but financial corporations operating surplus fell by 15%.

Headline GDP Down By 0.2%

UK gross domestic product fell by 0.2% in volume terms in the fourth quarter of 2011 according to a statistical bulletin from the ONS.

Of the output components of GDP output in the production industries fell by 1.4% within which manufacturing fell by 0.8%. Services remained unchanged but the construction sector fell by 0.5%. Agricultural output decreased by 1.5% in Q4 compared with a decrease of 0.6% in Q3 2011. Output of business services and finance increased by 0.1%. Government and other increased by 0.3%.

Household expenditure increased by 0.5% quarter on quarter while gross capital formation fell by 7.6%. The income components of growth and contributions to growth show that employee compensation fell by 0.3%.

Confidence Low In Small Businesses

UK SME's are still not confident according to the most recent CBI SME survey. Output is still at the same levels as last quarter but new orders are falling. Concern about the political and economic uncertainty increased sharply the survey suggests.

GDP Grows By 0.5% In Q3

The second estimate of GDP for the third quarter of 2011 was published by the ONS recently. The headline figure for GDP in Q3 2011 increased by 0.5%.

Analyzed by output, the production industries rose by 0.4% compared with a fall of 1.2% in Q2, mining and quarrying increased by 0.4% and manufacturing output rose by 0.2%. According to the income analysis GDP at current market prices rose by 1.5% and compensation of employees increased by 1.2%. The expenditure analysis suggests that GDP increased by 0.9% in Q3. Household final consumption expenditure remained unchanged. The level of household expenditure is 1.5% lower than Q3 2010.

OIE Measure Of GDP Up 0.2% In Q2

The chained volume measure of GDP increased by 0.2% in Q2 2011 according to the latest statistical bulleting from the ONS. Output in the construction and services sectors increased by 0.5%. Output in the production industries decreased by 1.6%. Output in Q2 2011 increased by 0.7% compared with Q2 2010. Quarter on quarter percentage growth in output in agriculture fell by 1.3% and total production by 1.6%.

Year on year growth to 2010 in construction increased by 7.1%, the production industries by 2.1% and services by 1.1%. Agriculture fell by 3.5%.

No Increase In GDP Estimate

The second estimate of GDP in volume terms remained as in April as an increase of 0.5% in Q1 2011. Output increased by 0.2% within which manufacturing increased by 1.1% and services by 0.9% but construction decreased by 4%. Output is now 2.4% higher than Q1 2010.

Employee income increased by 1.3% in Q1 2011 compared with 0.3% in Q4 2010. The operating surplus of companies increased by 1.4% in the first quarter of 2011. Taxes less subsidies on production increased by 7% but the VAT increase in January should be noted.

Household expenditure fell by 0.6% in the first quarter of 2011 and the level is now lower than in the same quarter last year by 0.3%. Government expenditure increased by 1% in the quarter and 1.1% over the year. Gross fixed capital formation decreased by 4.4% in Q1 2011 following a decrease of 1.8% in Q4 2010. Inventories' levels rose by £1.4bn in the last quarter.

The GDP deflator for Q1 2011 is 2.8% above the sdame quarter last year. Nominal GDP is up by 2.2% in Q1 compared with 0.5% in Q4 2010.

NIESR Estimate Growth Rate Of 0.3%

The latest NIESR monthly estimates of GDP released on 12 May suggest the underlying quarterly growth rate of GDP was 0.3% in April 2011. The growth estimate for March was 0.5%It does not take into account the Royal Wedding and the activites associated with it. The index for output for industry was estimated to have increased from 89.9 to 90.3. The indices for output by sector also suggest that agriculture remained unchanged at 91.0, private services decreased from 102.8 to 102.5 but public services increased from 103.6 to 104.1.

Productivity Up 1.7%

Output per worker increased by 1.7% for the whole economy compared with the same quarter in 2009 and by 0.1% compared with the previous quarter. Output per hour increased by 1.4% in Q3 2010 compared with Q3 2009 and 0.3% on the last quarter. Unit wage costs increased by 0.5% compared woth 2009.

Manufacturing sector output per job increased by 8% in Q3 2010 compared with Q3 2009 and by 0.8% on the previous quarter. Output per job in the service sector increased by 1% on Q3 2009 and was unchanged on Q2 2010. In agriculture, output per job decreased by 8.2% and output per hour worked decreased by 11.6% in 2009 compared with 2008.