JOB creation in the UK's manufacturing sector is at a four-month high as the sector benefits from domestic demand, a report has revealed.

The CIPS/Markit purchasing managers' index survey says the industry posted a better-than-expected reading of 53.5 in November.

The figure was an improvement on the 53.3 reading in October and September's 17-month low of 51.6.

Any figure above 50 separates growth from contraction.

However, despite the growth, export orders fell due to subdued global conditions and the strength of the pound against the euro.

Rob Dobson, Markit senior economist, said: "In the lead-up to the Chancellor’s Autumn Statement, the survey shows the UK manufacturing sector continuing its solid expansion and manufacturers raised employment at the fastest pace in four months.

"Despite easing from the stellar pace set in the first half of the year, growth is still coming from a broad-base that will aid its sustainability.

"The only real negative came on the export side, with new export business suffering a further slight decline."

Chancellor George Osborne will deliver his Autumn Statement on Wednesday, December 3.