It is vital that manufacturers are encouraged to spend their way
out of the recession in the light of new figures from the Office of
National Statistics (ONS), said business leaders in Birmingham.
Statistics show that manufacturing output remained unchanged for
the second consecutive month in November.
Paul Bassi, president of Birmingham Chamber of Commerce and
Industry (BCI), said: "Keeping inventory levels low will only serve
to continue the no growth output.
"There is no doubt that conditions remain tough and demand
remains weak. The Chamber's latest Quarterly Economic Survey
indicates that UK sales in manufacturing have fallen. In the
final quarter of 2009, 30 per cent of firms reported a decrease in
sales compared with 26 per cent in Quarter 3. We look forward to
seeing Quarter 4 GDP figures, where economists have predicted a
return to growth."
He added: "It is imperative that companies in the West Midlands,
with its high manufacturing base, receive better access to finance
and government incentives such as business and property rate
subsidies and taxation cuts which will help them to spend their way
out of the recession."