UK factories had a tough September, with manufacturing activity shrinking at the fastest pace since April, according to new data.
The slowdown came as car industry suppliers reported fresh disruption, following production stoppages at Jaguar Land Rover after a cyberattack.
Figures from the closely watched S&P Global manufacturing survey put the sector’s PMI reading at 46.2, down from 47.0 in August. A score below 50 signals contraction, while anything above shows growth.
The data suggests UK manufacturers have now cut production for 11 months in a row. Companies reported falling demand both at home and overseas, blaming a mix of weak customer confidence, higher costs, and uncertainty around US trade tariffs.
Jobs in the sector also continued to decline. Many firms said they were reducing staff to offset rising expenses, including higher minimum wage and National Insurance costs.
Rob Dobson, director at S&P Global Market Intelligence, described the results as “further worrying news for the health of UK industry,” pointing to falling orders, weaker exports, and rising tax and labour costs. He added that auto suppliers have faced an additional hit from JLR’s recent shutdowns.
Matt Swannell, chief economic adviser at the EY Item Club, suggested September’s slump may partly reflect nerves about tax rises expected in the Autumn Budget and the temporary car factory closures. Still, he warned the sector faces “weak domestic and external demand” as households tighten spending, government budgets get stricter, and the global economy continues to adjust to higher US tariffs. Photo by Grubb at English Wikipedia.