THE south-east is the most pessimistic in the UK about job losses in the next four months according to the latest regional trends survey from the Confederation of British Industry.

The results, published this week, coincide with the official Government figures showing that manufacturing has gone into recession.

In the south east and London the CBI survey reports that overall business confidence fell sharply with a continuing decline in export optimism, and employment falling at a faster pace than for the UK as a whole for the fifth successive survey.

Estimates based on the survey published by the CBI and Business Strategies Ltd suggest a further 29,000 manufacturing jobs will be lost between July and September and will be spread across all regions of the UK with the exception of the south west and Northern Ireland.

Sudhir Junankar, CBI associate director of economic analysis, said: "The global slowdown is now hitting UK manufacturing hard with firms in virtually all UK regions experiencing falling orders, output and employment with severe pressure on profit margins."

Lance Slater, a member of the Wycombe and South Bucks area committee of the Thames Valley Chamber of Commerce and on the executive of the Marlow Chamber of Trade said although there had only been a small reduction in manufacturing in the area, there was concern about the state of the industry throughout the UK.

He said: "Everybody must be concerned. Manufacturing is still fundamental to the economy and many of the service industries that go with it.

"We must still seek to maintain and encourage the manufacturing we have in the area, particularly printing, engineering and the furniture industries."

Mr Slater said the range of businesses in the area had broadened considerably with more IT and pharmaceutical companies resulting in a wider economic base.