UK Industrial Production declines with contraction in the manufacturing activity.

The UK Office for National Statistics data on Industrial Production released today showed the activity expanded at a pace of 1.1% year-on-year in October, lower than the market expectation of 1.8% growth, and down from the September’s growth of 1.5%.

The manufacturing activity increased by 1.7%, while mining and quarrying registered a growth of 1.0%. These increases were offset by a sharp decline of 2.3% in the water supply, sewerage & the waste management sector. Meanwhile, electricity, gas, steam & the air conditioning sector also registered a contraction of 0.7%.

Mont-on-month, the industrial production registered a contraction of 0.1% in October, driven by a 0.7% decline in the manufacturing activity.