Research Briefing | Mar 30, 2021

Vaccine raises UK growth hopes, but industrial activity to be buffeted by Brexit

UK sector outlook Q1 2021

Our latest UK sector forecasts show that we expect services will outpace industrial production this year, in contrast to the sector dynamics other advanced economies.

What you will learn:

  • The weakness in industry primarily reflects the impact of the end of the Brexit transition period.
  • The UK-EU FTA will keep trade tariff- and quota-free for qualifying goods. But the new relationship has still introduced customs and regulatory barriers that will weigh on the competitiveness of industry.
  • Export-orientated and highly-regulated sectors such as autos and chemicals respectively will be among the worst hit.

    If you wish to view more charts, please request a free trial here.

Back to Resource Hub

Related Services

Industrial property

Post

US: High debt costs suggest an industrial correction

The scale of the increases in debt costs, coupled with the low-yielding environment makes some repricing highly likely for gateway US industrial markets over the coming quarters.

Find Out More
Office building in London

Post

High debt costs suggest European office price correction

Our analysis suggests a 10% correction is needed on average for the major office markets in Europe to compensate for the higher cost of debt, with prime yields required to soften by 10bps-75bps to generate a low-risk interest coverage ratio at a reasonable LTV.

Find Out More