Goals for UK Productive Industries

The importance of service industries has rightly been highlighted in the policies of successive governments, but manufacturing and production also creates a huge contribution to UK prosperity.

Following the General Election earlier this year, the manufacturer’s organisation Make UK announced the publication of its report

The report confirmed that: “The sector contributed ￡217bn in output to the economy last year, supporting 2.6m jobs. Firms are investing more too than in 2023, with ￡38.8bn worth of investment taking place.?

“Like last year’s edition, ‘UK Manufacturing: The Facts 2024’ again reveals that manufacturing jobs are better paid than most, with average salaries rising by ￡2,281 to ￡38,769 this year. In comparison, salaries in services and the wider economy average at ￡34,698 and ￡35,404 respectively…

“As for the regional picture, the North West of England remains the leading manufacturing area of the UK, with output worth ￡29.5bn, and is closely followed by the South East at ￡26.1bn.”

Regional Powerhouses

It is worth looking more closely at the two regions highlighted by the Make UK report, and where they are building their strengths in manufacturing in 2024. This could indicate manufacturing areas where the UK excels and in which other UK regions might focus their attention upon.

North West England

In 2024, manufacturing growth in North West England has seen significant progress, driven by advancements in key sectors like aerospace, automotive, and pharmaceuticals. The region's long-established aerospace sector, particularly in Lancashire and Cheshire, continues to thrive, with global companies such as BAE Systems leading the charge. Investments in green aviation technology and the development of next-generation aircraft components have cemented the North West as a leader in aerospace innovation.

The automotive industry in the North West is another area of rapid expansion, especially with the increasing demand for electric vehicles (EVs). Companies like Bentley in Crewe and Jaguar Land Rover in Halewood have embraced the shift towards sustainable transport, investing heavily in EV production facilities and battery technology.

Pharmaceutical manufacturing in the North West has experienced robust growth, particularly around Greater Manchester and Cheshire, where life sciences and biopharmaceutical companies are flourishing. With a strong talent pool and a collaborative ecosystem, the region has become a centre for innovative drug manufacturing and healthcare technologies.

South East England

Being located at Bourne End in the Thames Valley region of South East England, businesses like ANR Manufacturing have seen significant growth in advanced manufacturing sectors, driven largely by the region's investment in high-tech industries. One of the standout areas has been aerospace and automotive manufacturing, particularly in counties like Hampshire and Oxfordshire, where companies are leveraging cutting-edge technologies such as robotics, 3D printing, and artificial intelligence. The automotive sector in particular has benefitted from the shift towards electric vehicles (EVs), with many firms focusing on the development of EV batteries and sustainable energy solutions.

Another area of manufacturing growth has been in pharmaceuticals and biotechnology. With the presence of world-class research institutions, the region has become a hub for life sciences manufacturing. The growth of this sector, especially in areas like Berkshire and Surrey, has been fuelled by increasing demand for precision medicines, vaccines, and advanced medical devices.

Additionally, sustainable manufacturing practices are flourishing in South East England, as companies across various industries adopt greener technologies to align with the UK’s net-zero emissions targets. In particular, the renewable energy sector has been bolstered by the growth of wind turbine and solar panel manufacturing, particularly in coastal areas like Kent. Investments in clean energy infrastructure, such as hydrogen fuel cells and energy storage systems, have attracted both domestic and international businesses, solidifying the region’s position as a leader in environmentally conscious industrial practices.

Going Forward

The measures in the Chancellor’s Autumn Budget will be revealed on 30th October and there have been many negative opinions voiced about the state of the UK economy. But it is also well worth remembering the UK’s exceptional experience and expertise in manufacturing and technology, not only in the regions mentioned but throughout the nation. It is hoped that these attributes will be recognised and supported when the Budget is unveiled.