19 November 2021

INDUSTRY MOVES CLOSER TO PRE-COVID LEVELS IN Q3

The UK printing and printed packaging industry continues to rebound, with most companies improving their performance in Q3 and many expecting to see further improvements in Q4,

The BPIF’s latest Printing Outlook, a quarterly published study of the health of the industry, found that following the effects of the Covid-19 outbreak in Q1 2020, it took until the second quarter this year for significant improvements in workloads to come through now that lockdown restrictions are being lifted and more of the economy is opening-up.

As expected, Q3 experienced continued growth and increased activity levels and this trend is forecast to continue in Q4, despite challenges in the supply chain and significant input price inflation.

The survey found that 59% of printers managed to increase their output levels in the third quarter of 2021. A further 33% were able to hold their output steady, with the remaining 8% suffering a decline in output.

BPIF economist Kyle Jardine told Printweek: “Furlough has ended and therefore printers’ clients have employees back, the economy is kicking in again, and more work is getting generated and approved.”

Anticipated disruption from Covid isolation pings did not materialise to any great extent, and companies were able to navigate through the August holiday season without too much of a drag on production.

Strong activity levels are now expected to carry into Q4 as many printers remain positive about output growth towards the end of the year, particularly with the help from marketing activity surrounding Halloween and Christmas.