British manufacturing orders decline, price expectations ease

British manufacturing orders contracted at the fastest pace since November, according to a survey by the Confederation of British Industry (CBI), cited by Reuters on Tuesday.

The monthly gauge of industrial orders sank to -33 from -23 in April, despite recording the largest rise in output since November 2022. Meanwhile, future selling price expectations fell to 15 from 27, the lowest reading since January.

Bank of England officials may view this as positive news while considering interest rate cuts in the coming months.

CBI’s deputy chief economist, Anna Leach highlighted that manufacturers anticipate a gradual recovery through the summer, although order books remain soft and inventory levels are relatively high.