Of 470 manufacturers surveyed, 22% described total orders as above normal, and 31% said they were below. The CBI says the resulting balance of -9% indicates order book levels slipped back in September, though this measure remains well above its long-term average of -18%.

The news comes as Leeds manufacturers report a rush of new business wins and investment, and will be welcomed following the announcement by defence giant BAE that it is to cut nearly 900 jobs at its manufacturing plant in East Yorkshire.

Allied Glass, manufacturer of glass containers for the premium spirits industry including leading brands such as Diageo, Chivas and William Grant & Sons, is investing millions in new machinery and staff as its new management team prepares to conquer new markets in Europe and further afield.

The Leeds-based business went through a secondary management buyout a year ago in a deal valuing the manufacturer at £75m.

Managing director Alan Henderson sees diversification into Europe as “a key part of the growth” of the business, which is backed by the private equity arm of Barclays Bank.

In an interview with the Yorkshire Post, Mr Henderson said that Allied wants to win new work in France, Italy, Spain and Poland: “We are targeting key brands that we want to be associated with and know we can do a good job for,” he said.

Allied has hired 30 people to staff a new facility in Leeds in a £600,000 investment to create a new operation decorating bottles.

Meanwhile, textile manufacturer Hainsworth has won a contract to kit out 2,000 firefighters across the West Midlands’ 39 community fire stations. The company already makes protective fabrics used by firefighters across the UK as well as in the US, Europe and the Middle East.

Now West Midlands Fire Service is to buy Hainsworth’s TITAN kit – a patented double cloth combining flame retardant properties on the face and high strength fabric on the back, resulting in increased thermal protection.

The eight-year contract will see the state-of-the-art kit rolled out to all firefighters in the West Midlands. The uniform, in dark blue and red, replaces the magma coloured uniforms previously worn by the service. The new kit will be manufactured by Bristol Uniforms.

And specialist brewery engineering firm Microdat has followed up a £500,000 equity investment from Finance Yorkshire with news of £5 million worth of orders for its innovative cask and keg handling systems which are being installed in breweries across the UK

Job vacancies now stand at 244,000 – 2000 up on the previous three months, says the report, with energy leading the growth in vacancies and an increasing number of opportunities in retail and manufacturing.

Working Links’ regional employer solutions manager Jason O’Neill said: “We saw a lot of activity in the run up to the busy Christmas period in terms of vacancies, especially in the retail sector. But it’s very good to also see manufacturing industry picking up again.”

Meanwhile, a survey for the Chartered Institute of Purchasing and Supply, shows that British manufacturing ended 2010 on a high, with activity reaching its highest level for 16-years.

The closely watched monthly survey showed the manufacturing index rising to 58.3 in December from 57.5 in November, far ahead of economists’ forecasts.

This is the highest level since September 1994 with favorable exchange rates and strong economic performance of the UK’s main trading partners – Germany and the US – driving demand for UK manufactured goods.

The news prompted Victoria Derbyshire to host a live phone-in on BBC Radio 5  in which she speaks to successful manufacturers across the country, learns what a grommet is and that yes, amazingly, we still make things in this country!

New Year proof of the effectiveness of this approach comes from brewing equipment manufacturer Microdat, a company that has continued to invest and develop new products through the recession. The firm’s current order book, already exceeds total sales in 2009 and six new jobs have been created.

And the good news doesn’t end there – the surge in orders has led founder and managing director Steve Midgley to seek sub-contract suppliers near his Leeds base to help out.

Cheers!