What a difference a month makes in the UK economy. In early August, it looked like Brexit has finally caught up with Britain and that the 'half-empty' predictions about the fate of the economy before the EU Referendum on 23rd June were coming true.
Sterling's value dropped in late June as markets felt uncertain about the future of Britain's economy outside the European Union. The Daily Telegraph highlights the sentiment at the time:
However, official figures showed Britain's trade deficit surged in June, with the economy sucking in a record amount of imports - ...
The Guardian picked up on the slump, describing the 'gloom':
The thinktank came to a gloomy conclusion after data from the Office for National Statistics (ONS) showed that a spurt in manufacturing came to an end ...
Here we are, a month later, summer holidays under our belts and with time to think about our futures, and the news is quite different.
It seems like British industry has benefited from the drop in the value of the Pound. British made goods are now more afforable than they were in early June, which increased the UK's exports.
ABC News picked up on the positive news:
Manufacturing in Britain rebounded in August from a slump in the immediate aftermath of the shock vote to leave the European Union, an indication that the economy may be weathering the ...
The pound gained against the US$ too:
Will Consumer Confidence Figures Boost Pound Sterling (GBP) Exchange Rates? Considering the latest credit figures s ...
British manufacturer of the Blade Compressor, Lontra, felt good about the news too. Their CEO, Steve Lindsey, commented:
“For home-grown high growth engineering firms, today’s figures reflect in part the benefit of increased overseas revenues from a weakened Sterling. In parallel to this, we need to ensure that we remain attractive to the world’s best engineers so that we can continue to recruit them from both home and abroad, as we have done successfully to date.”
As pragmatic as ever, the collective of British industry seems to have realised that Brexit has not happened yet, and the UK has not yet left the EU. Until it does, companies need to get on and make a living.