The latest National Manufacturing Barometer suggests that small to medium sized manufacturers in the UK have remained resilient in the face of ‘Brexit’ uncertainty and a spike in exports may even have been achieved.
Of those surveyed, 57% of firms recorded an increase in sales during the last six months. The Barometer also revealed strong optimism for growth, with two thirds expecting sales to grow again during the first half of 2017.
Simon Howes, managing director of SWMAS Group, said: “There has been a lot of talk about uncertainty around the impact of Brexit and the possible impact it could have on manufacturing, which makes the positive results from the latest Barometer very welcome.”
“A 9% surge in the number of SMEs reporting an increase in sales from the previous Barometer shows that orders are still being placed and, anecdotally, there is evidence of a spike in exports due to the fall in Sterling. This is something we plan to look at in more depth in future reports.”
He added that encouragingly, there appears to still be a strong appetite to invest in technology and people to drive growth and productivity, something that could prove crucial if SMEs are going to fulfil their aspirations.
Indeed, half of those questioned revealed that they plan to invest in new capital equipment and technology going forward, whilst 46% plan to increase their workforce to cope with demand.
Perhaps surprisingly though, 42% of respondents say that don't know whether the UK Industrial Strategy is built to deliver their business needs, clearly showing there is a lack of visibility and understanding amongst SME manufacturers.
The National Manufacturing Barometer is conducted by SWMAS Group in partnership with Economic Growth Solutions (EGS).