Output growth for the three months to September rose to its fastest rate since August 2011. And the companies surveyed expect output to rise strongly again over the coming three months.
With demand building across the UK and globally, stocks have fallen to their lowest level since last November. But inflationary pressures remain muted, with average prices expected to remain relatively steady over the coming three months.
“This month’s results show the manufacturing recovery is continuing to gather pace,” says Stephen Gifford, the CBI’s director of economics. “Order books are the fullest they’ve been since the start of the financial crisis, and firms are ramping up production to meet demand.
“Firms are more upbeat about growth prospects in the coming quarter than at any time since 1995,” he adds.