Manufacturers make headway as lockdown restrictions are eased

Factory output rose at its fastest pace in nearly three years in the UK last month, a closely watched survey has suggested. The IHS Markit/CIPS manufacturing purchasing managers’ index climbed further above the 50 mark that separates growth from contraction, rising from 50.1 in June to 53.3 in July. The figure was also broadly in line with an earlier flash estimate. Output, new orders and business confidence all improved last month as large parts of the economy started to reopen. The output component climbed to 59.3, its highest level since November 2017. Rob Dobson, a director at IHS Markit, said: “The UK manufacturing sector started the third quarter on a much firmer footing, with output growth hitting a near-three-year high and new orders rising for the year