Input price rises slacken but trade fears grow

Price rises for raw materials eased over the second quarter of 2005, but remained high, according to the Confederation of British Industry (CBI).

The group’s quarterly industrial trends survey also found overall business optimism fell for the fourth consecutive quarter amid inflated raw material costs and low consumer demand.

Ian McCafferty, CBI chief economist, forecast price cuts and about 18,000 UK job losses over the next three months.

“It’s still tough out there. But quarter two was not as...

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