Regional Manufacturing Outlook Report 2019
How have UK regions weathered the storm clouds of a torrid industry year?
Our fifth annual Regional Manufacturing Outlook report, produced in collaboration with Make UK brings together our survey results on the health of manufacturing over the past 12 months, comparing and contrasting performance across the eight regions of England, Scotland and Wales.
The Regional Manufacturing Outlook Report includes detailed analysis and data, which gives you an understanding of the trends in employment, investment, productivity and exports for each region - delivering a very accurate overall picture of the challenges and opportunities for manufacturing.
Despite our regional data continuing to be positive, there has been a clear decline over the past 12 months as Britain’s’ manufacturers endured an increasingly torrid year as the potent cocktail of Brexit, trade wars and global downturn bit across the UK.
The annual report highlights the exposure of those regions with a high dependence on exports to the EU are already suffering losses, but are also likely to be most at risk from a 'no deal' Brexit, barriers to trade and tariffs. According to the analysis Wales, the North East and Yorkshire & Humber have a very high exposure to trade with the EU.
The analysis also shows a clear correlation between the regional performance and exposure to the industry sectors and global trends. With London and the South East coming out as top performer in the last year thanks to the electronics sector and the North West showing promise thanks to the aerospace and pharmaceuticals sectors. By contrast the ongoing difficulties in the automotive sector are having an ominous impact on the entire manufacturing sector and those regions most closely linked to it - it’s clear that sector dependence will be key going forward into more uncertain times.
Download Regional Manufacturing Outlook Report
If you would like to discuss any of the topics raised in this report, please do not hesitate to contact Tom Lawton or your usual BDO Manufacturing partner.
Why manufacturing matters?
The manufacturing sector is hugely important for the UK economy, trade and investment. UK manufacturing employment stands at over 2.7 million people and manufacturing accounts for nearly half of all UK exports. Manufacturing also contributes 10% of all Gross Value Added. It is not hard to see why manufacturing is key to the UK’s trade balance and to see that this will become all the more true post-Brexit.
It is important to us that we understand the challenges that you face in running your manufacturing businesses. It helps us use our skills, experience and knowledge to make a tangible difference to your business.
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