Yorkshire manufacturers see bright future in 2014 – Nabarro
THE outlook is bright for UK manufacturers, according to new research.
The annual Works Management Manufacturing Outlook survey, released by Works Management magazine in association with law firm Nabarro and Lloyds Bank, reveals that 85% of respondents have an optimistic or very optimistic view of the business outlook for 2014, with 84% confident of a sustained economic recovery and 82% expecting continued revenue growth over the next 12 months. This comes on the back of a better year for the manufacturing sector in 2013 with 76% reporting an increase in their order books.
When asked what was driving their optimistic outlook, respondents comprised of senior managers and decision makers in the manufacturing sector had differing views. Over 50% put their positive mood down to domestic order growth, while opportunities generated by export order growth from the EU (35%) and BRICS (28%) economies were also cited.
Martin McKervey, partner and head of manufacturing at law firm Nabarro, said: “Yorkshire is at the heart of modern manufacturing in the UK and will be at the heart of the sector’s resurgence in 2014. It is encouraging that the New Year is welcomed so positively and to hear that manufacturers are also looking overseas to grow their order books.
“Skills have often been a challenge, but the survey highlights investment in this area too. The work the Company of Cutlers in Hallamshire and WorkWise are doing with schools in and around Sheffield to build manufacturing into the school curriculum is a great example of one such initiative.”
Nearly two thirds of manufacturers plan to spend in the critical area of training, while nearly three quarters expect to invest extra returns in production or plant equipment.
When asked what government could do to boost the sector during the course of the next 12 months, 88% said that it should refine the regulations associated with public sector procurement to make it easier for UK companies to tender for national contracts.
Energy is also a big issue, with 55% citing a reduction in energy costs as the single biggest lever the government could pull to create a favourable business landscape for manufacturers across the UK.
