The latest business investment figures show fashion and textiles manufacturing saw limited investment in q1 2016, the lowest reported figures since the start of the millenium and following a period of sustained growth since the recession. Total business investment into the sector fell for the fourth successive quarter and stood at £19m for the first quarter. Although a traditional pattern for this quarter and mirroring manufacturing more widely, has been very prounouced and starting from an already weak position in q4.
Interestingly, this investment fall has been inspite of other positive indicators within the sector, with employment, business creation and exports all rising in recent years. It may well be the uncertaintly concerning the lead up to the EU referendum which may have impacted on business investment decisions, which anacdotaly has been reported.
Figure 1: Q1 2016 Business Investment (£m)Source: Office for National Statistics