Confidence among UK manufacturers is at its lowest level since the middle of last year as soaring oil prices take their toll, a report has shown. Significantly higher raw material costs have not been passed on to consumers, meaning many manufacturers will have to cut investment and staff numbers, a quarterly study by the Confederation of British Industry said. The business lobby group reported that 17 per cent of companies were more optimistic about the general business situation while 27 per cent were less optimistic. Chief economist Ian McCafferty said there were clear threats to the manufacturing sector. He said: "Manufacturers are cutting back on investment and jobs as they become less confident in the pace of recovery. Oil and commodity prices are damaging profitability and we expect this pressure on margins to be maintained."

stable market: Housebuilder Westbury yesterday posted record half-year profits, but said consumer confidence could affect demand in the short-term. Westbury said pre-tax profits in the six months to August 31 rose 22 per cent to £58m, helped by sound fundamentals in the industry. The group said it was clear interest rate rises and comments from the Bank of England had moderated both demand and sales prices, resulting in a more stable and sustainable market. It said consumer confidence, which is influenced by wider economic and social factors, could inhibit short-term demand.

Booking revamp: Holiday IT has helped a US tour operator revamp its ailing online booking system. The Durham company completed the project on behalf of Welcomeusa, one of Florida's foremost tour operators. Welcomeusa, based in Orlando, asked Holiday IT to rewrite its reservation system and develop a website with a secure online booking system. Holiday IT has created a website with more than 10,000 pages of information.

Not interested: Nearly two-thirds of savers have no idea what interest rate their account is paying, researchers have found. In addition, many savers earned such poor interest, that once their account had been taxed, they were actually losing money, AA Savings said.