The alarming manufacturing figures, the decline in confidence balances across all sectors, and the fall in all the export balances are the most disturbing features of the Q3 results.

The steady fall in the critical confidence balances this year, for both manufacturing and services, is extremely worrying and requires an urgent policy response.

The manufacturing sector's position worsened sharply and across the board. The service sector domestic balances remain weak, and there was only modest improvement following the sharp losses seen earlier in the year.

Today's manufacturing output figures were mediocre and disappointing overall,

This could have a downward impact on the final export figures.

The BCC's figures, compiled by independent academics from the London and Manchester Business Schools, show businesses are paying an extra £40 billion since 1998. The initiative needs to lead some real change.