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EXPORT BOOM Britains factories are experiencing their strongest performance in nearly three decades as the fall in the pound gives exporters an advantage abroad. The CBI said that order books in June had climbed to their highest level since August 1988, while export demand hit a 22 year high, raising hopes of manufacturing boom to offset slower consumer spending.CONSUMER CONFIDENCE Consumer confidence in the UK has increased over the past month, according to a closely watched survey, despite a rise in inflation and the first fall in real wage growth since 2014. Shoppers became more confident about their personal financial situation and were more likely to spend money on a "major purchase" in May than in April according to GFKs consumer confidence index. Joe Staton, head of market dynamics at GFK,,said: "Despite life becoming more expensive with inflation hitting its highest level in four years and wages dropping in real terms for the first time in three years, stagnant living standards have not yet dented consumers spirits.
HOUSING MARKET STALLS Figures jointly provided by the Office for National Statistics and the Land Registry show that UK house prices rose by 4.1% in the year to March to an average of £216,000. This was the slowest growth since October 2013 and continues a general slowdown that begain last year.
DOMINANT SERVICES Britains economy is gathering speed again after a lackluster first quarter following a pick-up in activity in the UKs dominant services sector in April. Economists said the closely watched survey pointed to growth of 0.6% in the three months to June if current trends persist, which would double the disappointing 0.3% expansion in the first quarter of the year. The purchasing managers index for the services sector, which accounts for four fifths of GDP, defied predictions to jump to a four-month high of 55.8 in April, above all forecasts. Any reading above 50 indicates growth.
FALL IN JOBSEEKERS The number of candidates available for jobs has hit a 16 month low, prompting fears that Brexit has triggered a skills shortage in areas ranging from IT to engineering to nursing.There was the steepest fall in availability for permanent and temporary roles in April since December 2015, according to a report from the Recruitment and Employment Confederation. Kevin Green, chief executive , said that weakness in the pound after last years referendum and concerns over future immigration arrangements were making people reluctant to move.
FACTORY ORDERS PICK UP Manufacturers have reported the strongest increase in orders in 22 years, helped by the fall in sterling, strong demand in Britain and the global economic recovery. The Confederation of British Industrys latest report shows the highest increase in total orders in first quarter since April 1995. The sharp pick up was driven predominantly by export orders, which rose at the fastest pace in six years. Manufacturers are even more optimistic about exports in the future, with predictions for growth at their strongest level in more than two decades. Companies are also hiring more workers to meet the expected demand. More business said that the current levels of stock were inadequate to meet demand than any time since 1988.