Made UK and BDO Q4 report shows the manufacturing industry seeing small signs of recovery.
After months of negative news about the manufacturing sector, it was good to read their Q4 report to r and see some of the indicator arrows finally face upwards!
Even though domestic orders have remained flat, there has been a net 10% increase in exports, and this is the first time exports have beaten domestic orders since before the pandemic. Many of the firms surveyed had stock-piled in late 2019 and are now restocking.
Many within the industry are taking a sigh of relief after the Autumn Statement and the announcement of the measures to stimulate investment and growth.
On the 17th of November, the government announced a £4.5 billion investment in manufacturing in eight sectors, although this funding will not be released until 2025 but will last for 5 years. The biggest benefactor will be the automotive industry with a £2 billion allocation. The other sectors that have been allocated funding are Life Sciences, Aerospace and Clean Energy.
One of the biggest challenges will remain recruiting the right candidates, so the sector can continue to grow. The BDO/Made UK report also suggests there has been a shift from the slowdown in Q3 and the last quarter has seen a rejuvenation with +6% of manufacturers reporting increasing jobs.
Manufacturers remain positive despite the turbulence of the market and the recent announcements will help boost confidence.
With these new figures released, recruiters are looking at their candidate lists to make sure they are ready for the increased export orders.
If you are interested in reading the report, here is the link to download.