MNI: UK Industry Order Books At Near-Three-Decade High: CBI

--CBI Industry Nov Total Order Book Balance Next +17% Vs -2% October

     LONDON (MNI) - UK industry order books rebounded emphatically in November,

while expectations of price rises in the near term remained resilient, a survey

released Tuesday showed.

     The CBI Industrial Trends total order book balance for November rose to

+17% from -2% in October, the strongest order book performance since August

1988. 

     Business remain optimistic that these conditions will hold up looking

forward too. The volume of output balance, gauging orders over the next three

months, shot up to +28%, 14 percentage points above the October outturn and well

above the series average of +4%. 

     Much of this healthier form was attributed to strong export demand. The

export order book balance jumped to 20% from +5% in October. This is the highest

the balance has stood since June 1995. 

     Average prices, meanwhile, are expected to continue rising. The associated

average prices balance for the next three months was broadly unchanged at +17%

in November from +18% in October. 

     "UK manufacturers are once more performing strongly as global growth and

the lower level of sterling continue to support demand. Output growth has picked

up again, and export order books match the highest in more than 20 years," said

Anna Leach, CBI Head of Economic Intelligence.

     "Nonetheless, uncertainty continues to hold back investment and cost

pressures remain strong. Manufacturers will be hoping the Budget brings some

relief from the business rates burden in particular," she added.

--MNI London Bureau; +44 203-586-2226; email: jamie.satchithanantham@marketnews.com

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