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A summary of this month’s Purchasing Managers’ Index reports – click through to your region below.
Last updated: 11 Oct 2021 2 min read
September saw further broad-based increases in business activity, but inflationary pressures intensified. Sebastian Burnside, NatWest Chief Economist, commented:
“We’ve seen business activity levels rise across all nations and regions throughout the third quarter, as local economies continued to show signs of recovery. However, while growth has naturally slowed down compared to the initial reopening phase ‘boom’, it is also being increasingly constrained by supply chain issues and labour shortages.
“We saw notable increases in employment in most areas in September, but rates of job creation generally slowed as firms widely reported difficulty filling vacancies.
“These imbalances between supply and demand across both raw material and labour markets are generating sharp inflationary pressures in all parts of the UK. And with demand still recovering, we’re seeing companies increasingly passing on higher costs to customers, with latest data showing record rates of output price inflation in seven of the 12 areas monitored by the survey.
“Though expectations generally remain positive, business confidence has taken a bit of knock in most regions. And that’s even before factoring in the impact of the fuel crisis and surge in energy prices, which the survey data for September won’t have fully captured.”
Please see the regional reports in full: