According to a new survey, manufacturers in Yorkshire have reported weakening economic prospects during the previous quarter of the year and expected difficult business condition in the coming year.

The survey conducted by EEF, the manufacturers' organisation, and accountancy firm BDO showed that the manufacturers are expecting tough economic environment for business in 2013. The output fell from 14 per cent to 3 per cent while orders fell from a balance of 24 per cent to 11 per cent during the previous quarter.

EEF regional director Andy Tuscher said, "There is little positive news in these figures. We've seen growth ebb away during the course of the year and many manufacturers are steeling themselves for a continuation of tough trading conditions in the next few quarters."

BDO partner Jason Whitworth said that negativity was recorded across the manufacturing sector in the region except form industries and companies. He said that the decline in exports is a major challenge for the sector as it not only indicates the impacts of the Eurozone crisis but the ability to cater to the emerging economies outside the European region.

Whitworth said that investment sentiment remains strong but is being affected by issues relating to access to capital and unsporting tax structure in the UK.