Manufacturers efforts to build safety stocks ahead of Brexit have resulted in survey-record increases in inventories of both purchases and finished products, according to the IHS Markit/CIPS Purchasing Managers’ Index.
The index rose to a 13-month high of 55.1 in March as manufacturers stepped up production to build-up inventories in advance of Brexit and also meet rising inflows of new work (mainly reflecting stockpiling at clients).
Trends in output and employment also strengthened as stockpiling operations at clients led to improved inflows of new work, the survey found.
