The latest Ulster Bank Northern Ireland PMI is out today. It indicates that solid growth of new orders fed through to a further increase in business activity in July. There were reports of success in securing new work from the Republic of Ireland amid sterling weakness, helping to boost total new business. Job creation was sustained, albeit at a more moderate pace, while inflationary pressures continued to ease.
Does June’s unexpected fall in the rate of inflation herald the start of a retreat? It seems unlikely. The fall in sterling that has helped push inflation higher is still filtering through into consumer prices. And even at the lower rate inflation remains uncomfortably above wage growth. That’s a considerable headwind for the economy.
The Northern Ireland economy continued to expand in Q1 2017, according to today’s data, albeit at a weaker rate than in the previous quarter. Private sector growth (+0.4% q/q, +3.4% y/y) was driven by the services sector (+0.5% q/q, +3.1% y/y) with industrial production (-0.2% q/q, +2.1% y/y) and construction (-1.7% q/q, +7.9% y/y) posting quarterly contractions. The fall in industrial production though conceals strong rates of growth within manufacturing firms (+0.9% q/q & +0.9% y/y).
Today sees the release of June data from the Ulster Bank Northern Ireland PMI.
Today sees the release of April data from the Ulster Bank Northern Ireland PMI®. The latest report – produced for Ulster Bank by Markit – signalled the strongest rise in business activity of the year-to-date, while new orders continued to increase solidly and companies were optimistic of further output growth over the coming year. Meanwhile, the rate of job creation accelerated. On the price front, both input costs and output charges continued to rise sharply. Continue reading
As far as economic growth is concerned, the Northern Ireland economy ended 2016 with a bang. Continue reading
The Bank of England’s upgrade to its GDP growth forecast this year takes it almost back to pre-referendum levels. Meanwhile the Government published some of its post-Brexit policy goals in a discussion document.
Boost. The Monetary Policy Committee’s new forecasts show GDP growth of 2% for the UK this year. Continue reading
To say that 2016 was an eventful year would be an understatement. Political surprises have become the order of the day with the vote for Brexit & Trump (“BRUMP”) the highlights. The political landscape at the end of 2016 looks vastly different to what we had at the start of the year. The same holds true for the local economy.
Rising inequality has been blamed for everything from slow growth to political earthquakes last year, but on at least one sensible measure income inequality in the UK is substantially lower than it was before the recession. Continue reading
Today sees the release of November data from the Ulster Bank Northern Ireland PMI®. It signalled that the rate of expansion in activity at companies in Northern Ireland accelerated on the back of a return to growth of new business. Continue reading