Regarding the news that the UK Growth Figures Show Growth In Construction, Recession In Manufacturing, S.M. Lodha, an Indian Industrialist with interests in Iron & Steel, and Chairman of Western Thermal Group, has said:
“The recently announced UK growth figures have revealed a good quarter for the UK construction industry, with a growth of 0.9% since the last report. However, the manufacturing industry figures have revealed a decline 0.9% with a significant downfall between the months of April to June 2018. This news means the UK manufacturing industry is now in recession.
“The decline has mainly been attributed to Brexit uncertainty and the imposed trade tariffs from the U.S, with sluggish performance hindering growth and slowing momentum. In contrast, the UK construction industry output has bounced back following four months of consecutive contraction. The UK industry has seen month-on-month rises stemming from a 1.4% increase in construction output from June 2018 alone. This will bring relief to investors who have been hesitant to build stocks.
“With the growth of job creation expansion looking to aid in bringing stability to the UK economy and strategic investment, things are looking up for the UK construction industry, recovering further from the depths of recession. However, future positive developments will largely hinge on securing the right Brexit deal that puts the economy first and ensures progression. For now, we can remain cautiously optimistic.”