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Industry ‘now in recession’
Wednesday 1st October 2008, 11:50AM BST.
Britain’s manufacturing industry slid into recession last month as production levels fell to an all-time low, it was revealed today.
The latest “purchasing managers index” which analyses the activity of UK businesses revealed that it had hit its lowest in the survey’s 17-year history, confirming fears that the nation had now entered a period of official recession.
The UK is now importing more than it is exporting – the deficit has widened in recent months to nearly £11 billion and is continuing to grow.
Several Shropshire manufacturers have already shed jobs and business analysts warned the figures were the start of a prolonged period of trouble for many more long-established UK firms.
Paul Dales, of Capital Economics, said: “We continue to think that the UK economy is poised for a recession and a prolonged period of weak activity as the excesses of the last decade unwind dramatically.”
Today’s figures come hot on the heels of a report from the National Institute of Economic and Social Research which showed output shrinking by 0.2 per cent in August.
It predicted a further fall in economic output in the three months to the end of September.
The CBI business organisation has already revealed that retail sales in August were the worst since it started compiling figures 25 years ago.
Uncertainty in the world economy was continuing to have an impact on British businesses today.
Doubts were cast yesterday over the future of Lloyds TSB’s planned takeover of struggling Halifax Bank of Scotland, but its shares stabilised this morning amid hopes that a way forward has been found.
The European Commission today also approved the Government’s rescue package for mortgage lender Bradford & Bingley.
Clearance under EU state aid rules was rushed through in less than a day instead of the months it usually takes Brussels to vet such measures for fair competition.
Competition Commissioner Neelie Kroes confirmed that the state aid measures designed to keep Bradford and Bingley afloat comply with EU rules on rescue aid.
By Carl Jones
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Brown the Clown now needs to stand down and go.
His 10 years controlling the purse strings have wrecked this country.
Instead of wasting money on pointless projects he should have been saving up for this rainy day.
But its a case of “I’m alright Jack” I have a good job as PM, lots of money, No 10 DS why should I want to stand down.
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well the greenies will be happy atleast, we’ll all have a low carbon footprint if all the factories shut, personally i invest in other sectors, so i dont care
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“..so i dont care” about sums up why we’re in the mess we are – if people just sit around and whine instead of getting out making a difference (in whatever difference you would like it to be!) then perhaps your two lines might be worth reading.
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Recessions are always good for some people, like pawn brokers.
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if it is a recession, it will not be here long, there are green shoots around the corner
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Ah, yes! The recession is a result of Brown’s wonderful ‘experience’!
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Tory Boy, the ‘greenies’ want manufacturing to take off again in this country.
But Britain needs a manufacturing industry, which produces low-carbon technologies, rather than the fossil-fuel intensive technologies of the past.
If our leaders had vision and imagination, they would be investing in a green industrial revolution, changing our economy into a low-carbon one like Sweden’s.
Charles Darwin said, “It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change.”
Adapting to change is vital in the face of the challenge of climate change.
Low-carbon products will become increasingly popular with consumers as the scale of the challenge becomes harder to deny.
Do you not agree, Tory Boy?
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Huw: So how have you “adapted” to change? Are you still living in a house made with cement that everyone know creates it own weight in CO2 when produced? Concrete and cement production creates 10% of greenhouse gases – so please tell us how you have adapted, I’m sure it would be most enlightening.
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I have adapted to change after reading widely on this subject and realising that the gulf between the challenge ahead and the progress we are making so far is enormous.
Joining the Green Party is one positive way that I have adapted to change.
When one considers the scale of the problem, one has to see that only politics is going to bring about the necessary changes, and that this process is going to be long and hard-fought.
Winning the debate is the key to change in a democratic society.
Becoming an advocate for the party has also helped me realise just how massively powerful the vested interests are, which oppose the voices of the green movement.
Sharon Beder’s excellent and highly readable book, Global Spin, has helped me understand who I’m up against in these Shropshire Star threads.
Individuals can take individual action, but only political action will bring about the massive changes we need across society.
When you give personal and credible information about yourself, Lucy W., I will do the same.
Until that unlikely moment, I would prefer to stick to discussing policies.
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