Latest PMI data shows growth at start of 2010
09/02/2010
The latest PMI data shows the West Midlands’ rate of output growth eased as the poor weather took its toll while employment fell at its slowest pace since June 2008.
Markit’s Purchase Managers' Index PMI® for February signalled a further increase in business activity in the region’s private sector economy during January. However, the rate of expansion eased from December’s 27 month high to the slowest since September last year.
Job losses continued during the latest survey period. Although easing to the slowest since June 2008, the rate of contraction of employment was nevertheless the second-sharpest of all twelve UK regions.
Glynn Jones, Head of Economics and Strategy at Advantage West Midlands, said:
“The good news is that the West Midlands economy continues to grow in 2010. Although the rate of output growth has eased – with many businesses citing unusually poor weather conditions as a factor – so has the rate of job shedding, indicating the economy is stabilising.
“However, there remain important contrasts between different sectors of the economy. Whilst manufacturing has been buoyed by a strong increase in new orders and growth in global trade, the service sector has registered little change in activity.
“This underlines the continuing fragility of regional economic recovery, with overall staffing levels continuing to fall, outstanding business decreasing for a 29th successive month and input prices continuing to rise.”
For more details see the full West Midlands’ report - PDF - 730kb.