The manufacturing sector in the United Kingdom recorded a drop in activity to a 17-month low in March, S&P Global said in a report on Tuesday. The manufacturing Purchasing Managers' Index (PMI) fell to 44.9 in March from 46.9 in February, although it improved compared to the preliminary release, which put the PMI at 44.6. New business sank to a level unsees since August 2023 and optimism slumped to a near two-and-a-half-year low, according to the report.
"Companies are being hit on several fronts. Many reported that domestic market conditions are deteriorating, costs are rising due to changes in the national minimum wage and national insurance contributions, geopolitical tensions are intensifying, and global trade faces potential disruptions from tariffs," S&P Global Market Intelligence Director Rob Dobson said.
