A third of UK manufacturers think production will decline over the next quarter, according to a new survey.

The Confederation of British Industry (CBI) survey also showed that while 20% of firms expect output volume to increase in the coming quarter, 33% expect a decline.

Ian McCafferty, chief economic adviser at the CBI, said: "CBI's manufacturers are becoming more downbeat about forthcoming levels of activity but are still having to raise their prices due to the severity of recent cost increases."