British manufacturing output fell unexpectedly in October, denting hopes the sector might soon help to drive the country's economy towards a more balanced recovery, data showed on Tuesday. Manufacturing output fell 0.4 percent on the month in October, against expectations for it to stagnate following a 0.9 percent surge in September, the Office for National Statistics said on Tuesday.
Britain had the fastest-growing advanced economy in the world last year and is likely to be at the head of the pack again this year. But it has relied heavily on domestically focused services for growth, frustrating hopes for a better-balanced recovery. Manufacturing has so far failed to contribute positively to economic growth this year, impeded by a slowing global economy. Tuesday's figures do little to counter some surveys that have shown the sector could be heading for a steeper downturn.
Improved North Sea oil and gas extraction helped wider industrial production edge up in October. Economists said this kept the economy on track for quarterly growth of around 0.6 percent in the last months of the year, up slightly from the third quarter. But some expressed reservations about the balance of the upturn.
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