Manufacturing Review 2015: Is the Engine for Growth ready to spark?
LATEST moves to make the West Midlands the Engine for Growth within the UK economy will rely much on the strength of the region’s manufacturing industry.
The industry has helped to lead the UK’s recovery out of recession; the transformation owing much to performance of key industries such as Automotive and Aerospace – whose importance to the health of the region is out of proportion to elsewhere in the country.
Take for example the stunning growth seen by Jaguar Land Rover, whose raft of new models and investment in new facilities has done much to shape the future industrial strategy for the region.
Largely due to this, the Conservative Government is encouraging a new combined authority for the region to press ahead and become the engine room for growth.
While the manufacturing industry has begun to falter recently, largely due to declines in the health of the emerging economies – especially in China – and the depressed oil & gas sector, the West Midlands is thought to be resilient enough to survive more or less intact and deliver on the growth agenda.
TheBusinessDesk.com and international law firm Squire Patton Boggs have collaborated on a new report gauging levels of confidence within the manufacturing sector and what businesses in the region want to see happen over the course of the next 12 months.
To download a copy of the new report click here
Simon Garbett (left), partner, Squire Patton Boggs in Birmingham, is one of those who believes the future of the region is secure.
“This is part of the country where an immense amount of creativity and innovation within manufacturing has always gone on – it was, after all, the heart of the original industrial revolution – and this remains the case today,” he said.
He said many Midlands manufacturers were excelling, delivering highly desirable – and high quality – products to markets around the world.
He also singled out the contribution of JLR to the region.
“Without doubt, JLR continues to be a major catalyst for the sector’s success across the region, not least because it has significantly invested in state of the art advanced manufacturing facilities and pushed an export-led productivity drive,” he said.
Not that it is all plain sailing for the industry, besides the volatile global markets, there are other domestic challenges which continue to impact the industry and which are also explored as part of the new report.
A survey of thousands of firms from across the West Midlands, North West and Yorkshire earlier this year has identified a number of issues of concern to manufacturers.
These include the impending referendum on the UK’s involvement with the EU, a continuing skills shortage combined with a lack of focus on STEM (science, technology, engineering and maths) subjects in school, research and development initiatives, reshoring and investment.
“The report provides a fascinating insight into the true picture of the manufacturing industry both within the West Midlands and the wider UK,” said Mr Garbett.
“I am sure everyone connected with the industry will find it very interesting and I would urge them to read it and let us know what they think.”
What is the situation like in other areas?
