Manufacturing growth in the UK fell to its lowest point in more than two years, according to a closely watched sector survey.
The Markit/CIPS Purchasing Manager's Index in June 2015 fell by 0.5 points to 51.4, the weakest growth rate since April 2013 down from a revised 51.9 in May.
Group CEO at CIPS, David Noble, said: "Manufacturing delivered a sluggish but steady set of results this month compared to more upbeat activity at the start of year, but still remained on terra firma."
Lack of expansion and new orders from Europe which was largely fuelled by the strong pound, prevented the manufacturing industry to grow as expected.
Chief economist at IHS Global Insight Howard Archer said the results of Markit and CIPS monthly study were disappointing, but that an increase in the UK's domestic demand for manufacturing services, caused by lifted confidence and increased purchasing powers, provides hope for the future of the industry.
He added: "Mounting evidence that housing market activity is improving is... encouraging for demand for household goods and furnishings. Manufacturers will also be hoping that now that political uncertainty is less of a factor, following May's general election, companies will become more prepared to invest, thereby lifting demand for capital goods."