Manufacturing growth rate at 15-year peak

The Chartered Institute of Purchasing and Supply/Markit purchasing managers index – a key measure of the economic health of manufacturing –rose to 58 in April from an upwardly revised 57.3 in March.

A reading over 50 indicates growth, and this was the highest reading since September 1994.

The survey represented the seventh successive month of improvement, and was significantly ahead of forecasts.

Weakness of the pound gave manufacturers a boost as new orders rose at their fastest pace in more than six years, helped by the strongest growth in export orders since the new series began in 1996.

CIPS chief executive David Noble said the results were "hugely encouraging" for manufacturing.

"It is now growing at a rate of knots – maintaining the momentum gained in the first quarter and faring much better than we could have dared hope for this time last year," he said.

The CIPS said the export boost reflected improving global conditions, restocking and promotions, with increased demand from China, the Middle East, the US and mainland Europe.

Master Cutler James Newman, who represents industry in South Yorkshire, said the survey mirrored increasing optimism among the region's manufacturers.

"Exporting has held up well over the last 18 months but obviously it's getting a fresh impetus as other countries' economies start to come out of the recession," he said.

"Some of the specialist manufacturing in South Yorkshire is now coming into its own.

"We are forecasting that activity will hopefully get back to 2008

levels (by the end of 2010) so there's a fair amount of optimism around."

Conveyor belting giant Fenner recently said its UK arm was benefiting from the weakness of sterling. Although the East Yorkshire-based firm derives a significant amount of its revenues in the US and Australia, its UK business performed particularly well in export markets.

Sheffield Forgemasters recently won an order worth more than $1m to supply steel for South Korea's new generation of nuclear power plants – the latest in a string of orders from growing Asian economies.

The survey also showed employment among manufacturers is growing at its fastest rate since February 2007 after the dramatic cost-cutting seen in the past two years.

Mr Noble said: "The real turning point will come when manufacturers feel confident enough to increase their investment and start to build capacity again. The good news is there are already signs this is starting to happen."

But Mr Newman said any significant surge in employment will depend on how the next government prioritises manufacturing.

"A lot will hinge on the outcome of the election," he said. "The key is that there's a government in place – of whatever hue – that wants manufacturing to succeed and is prepared to help rebuild the UK manufacturing capacity."

IHS Global Insight chief UK and European economist, Howard Archer, said it was a "really decent, encouraging survey".

"Manufacturers are currently clearly benefiting from a pick-up in demand both at home and overseas, improved competitiveness in both domestic and foreign markets stemming from the weak pound, and leaner stock levels," he said.

US interest in slingsby

A Yorkshire defence manufacturer is attracting increasing interest from American aerospace giants.

Composites maker Marshall Slingsby, which changed its name from

Slingsby Advanced Composites when it was bought by a Cambridge firm earlier this year, was recently visited by a group of US companies, The Composites Consortium (TCC).

Slingsby has more than 130 employees at its operations in

Kirkbymoorside, North Yorkshire and at Glasgow Prestwick Airport, Ayrshire, where it makes products including composite panels for military aircraft.

TCC chairwoman Danna Kelly-Haddad said: "TCC is visiting companies like Marshall Slingsby Advanced Composites to learn of their expertise.

"The diversity of their design and manufacturing is incredible. We've witnessed in one facility everything from unmanned air vehicles, to the only composite submarine rudders and hydroplanes in the world, to fast jet helmet shells that will protect pilots ejecting at 700mph.

"There's a huge technical and commercial opportunity here."

Slingsby was visited by TCC representatives from firms including

Northrop Grumman, General Dynamics and Boeing.

Slingsby, which supplies components to defence giants including BAE and Rolls Royce, was bought by Marshall Aerospace in January for an undisclosed sum.