The Confederation of British Industry’s (CBI) monthly net balance of new orders came in at -33 in June 2025, the lowest since January and below forecasts of -27. However, firms expect the decline to ease in the next quarter. Both total and export order books remained weak and below their long-run averages. Finished goods stock levels dipped below average, while expectations for selling price inflation eased but stayed elevated.
Output fell in 14 of 17 sub-sectors, led by chemicals, metal products, and mechanical engineering. Selling price expectations eased to +19% from +26% but stayed above the +7% average. Stock adequacy slipped to +6%, below the long-run +12% norm. CBI Economist Ben Jones said manufacturers face challenges like high energy and labor costs, skill shortages, and global instability. He called on the government to act quickly on energy support, training reforms, and tech adoption to drive short-term growth and unlock long-term investment.
