UK Manufacturing – The Facts

This month Make UK released its awesome UK MANUFACTURING THE FACTS: 2023 report. This is an awesome summary of the UK manufacturing powerhouse and the nations influence on the world stage.

In my last post “There May be Trouble Ahead“, I looked at the challenges faced ahead for UK manufactures due to continued competition and a slow growth forecast. But the sector is strong and there are many key statistics we should positively reflect on. After all, the sector accounts for around 10% of GDP and employing over 2.6 million people

Here are some key facts from the report

➡️ 🇬🇧 The UK is the 8th largest manufacturing country in the world (up from 9th last year)

➡️ 🇬🇧 £224bn of output from the UK manufacturing sector and investing £34 billion into the UK economy each year

➡️ 🇬🇧 2.6M jobs provided by UK manufacturing, who’s pay is on average 9% higher than the national wage

➡️ 🇬🇧 49% of the UK’s total exports are goods produced by manufactures, and is the 8th largest importer of goods.

➡️ 🇬🇧 16% of total UK business investment is made by manufacturers

Faced the ongoing global economic uncertainty, the UK manufacturing sector has remained strong in 2023. According to the trade body Make UK, manufacturing output grew by 0.7% in March 2023, the strongest monthly growth since May 2021. This was driven by growth in the production of basic pharmaceutical products, computer, electronic, and optical products, and food and drink.

Reasons to be optimistic about UK manufacturing

There are a number of reasons to be optimistic about UK manufacturing in 2023 and beyond:

• Innovation: UK manufacturers are at the forefront of innovation in a number of sectors, including aerospace, automotive, and pharmaceuticals. This innovation is helping UK manufacturers to compete in global markets and develop new products and services.
• Skills: The UK has a strong pool of skilled manufacturing workers. This is due to the UK’s investment in education and training, as well as the strong apprenticeship system. This skilled workforce is essential for the UK manufacturing sector to continue to grow and innovate.
• Government support: The UK government is supportive of the manufacturing sector. This support includes tax breaks, research and development funding, and investment in infrastructure. This government support is helping to create a favorable environment for UK manufacturers to operate in.
• Global demand: Global demand for manufactured goods is expected to continue to grow in the coming years. This is due to a number of factors, including the growing population in emerging markets and the increasing urbanization of the world’s population. This growing demand will provide opportunities for UK manufacturers to export their products and services to new markets.

In addition to these general reasons to be optimistic about UK manufacturing, there are also a number of specific trends that are working in favor of the sector. For example, the growth of the green economy is providing opportunities for UK manufacturers to develop and produce new products and services that help businesses and consumers to reduce their environmental impact. The shift to digital manufacturing is also creating new opportunities for UK manufacturers to improve their productivity and efficiency.

Despite these challenges I raised in the last article, the UK manufacturing sector is expected to remain strong in 2023. The sector is benefiting from innovation, a skilled workforce, and government support. However, the sector will need to address the challenges of rising costs, supply chain disruptions, and labor shortages in order to maintain its growth trajectory.

Find out more about Nick Leeder & Co

Nick Leeder & Co is dedicated to empowering businesses in the manufacturing sector. By implementing industry-leading techniques like MakeIt! – Next Generation NPI Process, companies can streamline their operations, optimize processes, and deliver high-quality products to the market faster than ever before.

Whether it’s enhancing efficiency, embracing new technologies, or fostering a culture of continuous improvement, Nick Leeder & Co is at the forefront of supporting UK manufacturers in their digital transformation journey. That’s why we’ve launched TransformIt! – Smart Industry Readiness Index to help UK manufacturers accelerate their industry 4.0

So, join the transformation revolution and unlock the true potential of your manufacturing business with Nick Leeder & Co’s transformative solutions.