The
data were released a day after the Bank of England highlighted
risks from abroad as it signaled it was not about to raise
interest rates anytime soon.
Manufacturing output rose 0.8 percent in September, compared
with a 0.4 percent increase in August, the Office for National
Statistics said on Friday. Economists polled by Reuters had
expected only a 0.4 percent increase.
British factories have struggled as demand from Europe weakened
and the pound strengthened, although one survey this week
suggested their fortunes improved notably in October.
Separate ONS data released on Friday showed Britain's trade in
goods deficit narrowed to 9.351 billion pounds in September from
10.786 billion pounds in August, undershooting the Reuters poll
consensus for a 10.6 billion pound gap.
The revival in manufacturing, if sustained, could point to
faster economic growth in the fourth quarter.
"However, we will need more evidence before judging that a
corner has been turned," said Martin Beck, an economist at EY
ITEM Club.
The ONS said trade probably continued to weigh on growth in the
third quarter, and despite September's smaller-than-expected
trade gap, economists doubted the country's external performance
would improve much.
"While the trade numbers were a bit better in September, this is
only relative to July and August. If we look at Q3 relative to
Q2, the picture is decidedly worse," Liz Martins, an economist
at HSBC, said.
Industrial production data for September had a negligible effect
on the earlier official estimate for gross domestic product
growth in the third quarter, the ONS said.
Industrial output fell 0.2 percent on the month, after rising
0.9 percent in August. On the year, output rose 1.1 percent,
down from 1.8 percent growth in August.
(Reporting by Andy Bruce, editing by Larry King)
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