Around 20% of the UK manufacturers fear that they may deal with some serious spending cuts in the year 2011. Thought, there has been a positive forecast for this industry, but the manufacturers are worried of the cut fears.

It has been predicted that the UK manufacturing industry will go on a high in this year and some economist have also predicted that this sector will outperform the economy as a whole.

The Engineering Employers Federation (EEF) has predicted the growth of around 3.5% within manufacturing in this year as compared to 2.1% from all other sectors.

An EEF had conducted a poll of over 500 firms and the result of this study says that the tension in the economy is yet to be finished and the industry is not out of trouble despite recovery. It has also been informed that the manufacturing output of UK have seen a reasonable hike of 0.06% in the month of October. This increase was the best since March last year. But the real issue is the fear of spending cuts which the manufacturers had to deal with in the ongoing year.