Britain’s largest manufacturers anticipate a significant increase in orders and output in the second half of the year, despite a chronic shortage of skilled workers.
A survey by Make UK, involving 320 companies, indicates that the sector is stabilising after pandemic-induced demand swings, price disruptions from the Russian invasion of Ukraine, and supply chain issues such as the Suez Canal blockages.
The number of manufacturers reporting improved order books has doubled recently, driven by strong export demand from the US.
Cooling prices and potential interest rate cuts have boosted business confidence to its highest level in a decade.
Make UK predicts manufacturing growth of 1.2% in 2024, outpacing the projected 0.9% GDP growth. However, the skilled worker shortage remains a critical challenge.
Both major political parties propose solutions, with the Conservatives focusing on increasing apprenticeship places and Labour offering more flexible training fund usage.