Germany's VDMA believes UK is moving towards no-deal Brexit

Germany's VDMA engineering association said on Tuesday that the chances of averting a hard Brexit were shrinking by the day, so firms should urgently prepare for such a scenario.

The VDMA confirmed its forecast that production in the engineering sector would grow by 5 per cent this year to hit a record 228 billion euros ($259.37 billion) and by 2 per cent next year.

Hurdles for further growth include the ongoing trade dispute between the United States and China, the danger of a hard Brexit, sanctions against Russia and Italy's debt crisis, the VDMA said.