- Growth in consumer spending eased, but remained firm.
- Overall housing demand was still robust, though the outlook for new home building had become less certain.
- Investment intentions persisted at high levels, particularly in the service sector.
- Demand for exports remained healthy despite sterling’s appreciation.
- Growth in manufacturing output eased a little.
- Construction output rose further, supported by both public and private sector projects.
- Service sector output growth continued at a rapid pace.
- Employment intentions increased, driven by demand for labour in the service sector.
- Recruitment difficulties increased, with skill shortages becoming more broad-based.
- Capacity pressures remained high in some sectors, and were greatest in construction and services.
- Growth in labour costs strengthened, consistent with increased recruitment difficulties.
- Growth in materials costs slowed from its earlier rapid pace so that input price inflation eased again.
- Consumer price inflation remained steady at its recent relatively high rate.
Published on
20 March 2007
Other Agents' summary of business conditions
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