Agents' Summary of Business Conditions - May 2006

We regularly publish a summary of reports compiled by our twelve regional Agents following discussions with at least 700 businesses across the UK every reporting period.
Published on 16 May 2006
  • Consumer spending growth may have started to stabilise following the volatility seen in recent months.
  • The housing market recovery continued, but contacts were nervous about its fragility.
  • Investment intentions picked up slightly; services firms expected to increase investment spending over the next six months.
  • Domestic manufacturing sales were broadly unchanged on a year earlier, while export sales accelerated.
  • Construction output accelerated.
  • Growth in business services turnover picked up.
  • Employment intentions were unchanged, with staff levels falling in manufacturing and rising in business services.
  • Capacity pressures remained generally muted; only professional and financial services companies were experiencing significant difficulties.
  • Pay settlements were similar to the levels seen last year, with little sign of upward pressure from employees following the recent energy price rises.
  • Input price inflation stayed high, reflecting a further pass-through from energy prices.
  • Output price inflation rose, but competitive pressures held down consumer price inflation.

PDFAgents' summary of business conditions - May 2006

Other Agents' summary of business conditions

This page was last updated 31 January 2023