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Group Finance Director
Radley Green pleased as British Manufacturing sees fastest growth in 10 month's
British manufacturing activity has been reported to have expanded at its fastest pace in 10 months in March. It is believed that this has been driven by a pick-up in new orders thus increasing the chance that Britain's economy grew in the first three months of 2012 and avoided a recession.
City AM reported that The Markit/CIPS Manufacturing Purchasing Managers' Index (PMI) rose to 52.1 in March from an upwardly revised 51.5 in February - the highest level since May last year. Radley Green understand that a reading above 50 implies growth.
BBC business also confirmed this and suggested the data was an encouraging sign that the economy grew in the first 3 month's of the 2012 and avoided recession. They reported that whilst new orders saw a pick-up the data was also given a boost by the clearing of backlogs of existing orders.
Firms face high oil and metal prices at present and conditions in the sector remisn tough but both domestic and overseas demand has improved.
"UK manufacturing has made a brighter than expected start to 2012, with PMI data pointing to output growth of around 0.3% in the first quarter," Rob Dobson, senior economist at Markit was reported to have said.