The printing industry is experiencing an ongoing struggle and is facing fierce competition and greater demands from customers, according to Directions, the BPIFs quarterly survey of economic trends.
The survey revealed figures that were much worse than expected. This was compounded by the Confederation of British Industry (CBI)s industrial trends survey, which claimed that business confidence was at its lowest point since January 1999.
However, both of these surveys strongly contradicted the findings of the Chartered Institute for Purchasing and Supply (CIPS), whose monthly survey showed an increased total on factory order books.
The BPIFs report claimed that 60% of respondents had anticipated an improvement in trade, yet only 29% reported an actual improvement and 46% saw the situation worsening.
"These are hard times for printers," said Mike Hopkins, BPIF director of corporate affairs. "With all the increases in cost and demands facing the industry, many printers are having to reduce their margins quite dramatically just to stay in business."
The CBI survey was also pessimistic - it showed that 21% of manufacturers were less optimistic about business prospects than four months ago and only 11% were more confident.