{"id":3044,"date":"2010-08-02T14:43:45","date_gmt":"2010-08-02T14:43:45","guid":{"rendered":"https:\/\/mmm.9dotdigital.ca\/?p=3044"},"modified":"2025-03-27T15:49:05","modified_gmt":"2025-03-27T15:49:05","slug":"uk-manufacturing-not-constrained-by-credit-supply-according-to-cbi","status":"publish","type":"post","link":"https:\/\/mmm.9dotdigital.ca\/?p=3044","title":{"rendered":"UK manufacturing not constrained by credit supply, according to CBI"},"content":{"rendered":"<p>Business activity of smaller manufacturing firms is not being constrained by insufficient credit, according to the July CBI SME trends survey. The accompanying press <a title=\"http:\/\/www.cbi.org.uk\/ndbs\/press.nsf\/0363c1f07c6ca12a8025671c00381cc7\/c6771e000aa7462980257770003ef661?OpenDocument\" href=\"http:\/\/www.cbi.org.uk\/ndbs\/press.nsf\/0363c1f07c6ca12a8025671c00381cc7\/c6771e000aa7462980257770003ef661?OpenDocument\" target=\"_blank\">release<\/a> states that: &#8220;Just 4% of firms cite credit or finance constraints as likely to limit export orders, compared with 12% in the previous quarter. This is now in line with the long-run average. Furthermore, 5% of firms say credit or finance are factors likely to act as a brake on output, also in line with the historic mean.&#8221;<\/p>\n<p>The SME survey covers firms with fewer than 500 employees. The CBI&#8217;s survey of larger manufacturers in July, released a fortnight ago, also reported a normalisation of numbers citing credit availability as a constraint on output and exports &ndash; see chart.<\/p>\n<p>By contrast, the last Bank of England agents&#8217; survey stated that, while bank credit availability had improved, &#8220;conditions remained significantly tighter than those prevailing prior to the financial crisis.&#8221; Possible reasons for the discrepancy are 1) the CBI surveys are more up-to-date, 2) the Bank&#8217;s survey includes non-manufacturers, which may be experiencing greater problems and 3) the CBI improvement may reflect stronger internal cash-flow generation that has reduced the demand for external finance &ndash; credit is probably still difficult to obtain for those firms that need it most.<\/p>\n<p><span class=\"full-image-block ssNonEditable\"><span><img decoding=\"async\" src=\"\/storage\/graphs\/uk-cbi-ind020810.gif?__SQUARESPACE_CACHEVERSION=1280760899555\" alt=\"\" \/><\/span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Business activity of smaller manufacturing firms is not being constrained by insufficient credit, according to the July CBI SME trends survey. The accompanying press release states that: &#8220;Just 4% of firms cite credit or finance constraints as likely to limit export orders, compared with 12% in the previous quarter. This is now in line with [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-3044","post","type-post","status-publish","format-standard","hentry","category-money-moves-markets"],"_links":{"self":[{"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=\/wp\/v2\/posts\/3044","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3044"}],"version-history":[{"count":1,"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=\/wp\/v2\/posts\/3044\/revisions"}],"predecessor-version":[{"id":5353,"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=\/wp\/v2\/posts\/3044\/revisions\/5353"}],"wp:attachment":[{"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3044"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3044"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mmm.9dotdigital.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3044"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}