A monthly indicator of the strength of UK manufacturing shows that the sector is still growing at a rapid rate.

The Purchasing Managers’ Index (PMI) by Markit and CIPS hit 56.7 in January, down from the previous month’s total of 57.2 but still well above 50, the level which denotes growth.

"Although the pace of output expansion has cooled slightly in recent months, growth is still tracking at one of the highest rates in the 22-year survey history," said Rob Dobson, senior economist at Markit.

Increased demand from areas such as the US, Brazil and Asia pushed export orders to their highest level in nearly three years, while employment also increased for the ninth consecutive month.

Data from the government, also expected to be strong, will be published at the end of the week.