Survey finds EU-based firms shunning UK manufacturers as risk of no deal mounts

The UK’s manufacturers have recorded the sharpest drop in factory output for seven years as mounting concerns over no-deal Brexit and the slowing global economy hit orders across the country.

The monthly snapshot from IHS Markit and the Chartered Institute of Procurement and Supply, which is closely watched by the Treasury for early warning signals from the UK economy, showed that activity plunged in August to the lowest levels since July 2012.