The report, an analysis of the contribution of manufacturing to each English region and devolved Nation, found growth in manufacturing jobs in six of eight English regions along with Wales.
In a statement, Verity Davidge, director of policy at Make UK, said: “Industry remains critical to the growth of the economy, providing high value, high skill jobs and aiding the process of levelling up. But if we are to address the current anaemic growth prospects for the sector and the economy overall we need bold measures at national and regional level. This must include both a national industrial strategy which allies with local growth strategies to fit with the priorities and strengths of each region, including infrastructure, innovation and skills in particular.”
Yorkshire & Humber saw the biggest growth in manufacturing jobs, adding 46,000 jobs in 2022 compared to 2021, bringing the total number to 316,000, or more than one in ten of the region’s workforce.
According to Make UK, this is possibly due to the growth of food and drink sector post pandemic, which accounts for 16.3 per cent of regional output. The second largest sector in the region is chemicals which has also performed strongly in recent years, closely followed by basic metals.
The South West saw the second highest increase with a further 28,000 jobs, bringing the total to 249,000, or eight per cent of the region’s workforce. This was followed by the East of England, adding 27,000 jobs and bringing the total to 228,000. The East and West Midlands, together with London and the South East, Wales and Northern Ireland also saw increases in the number of manufacturing jobs.
The report also highlights the importance of manufacturing and jobs to the ‘red wall’ areas where the sector occupies a higher-than-average contribution to the regional economy. The average regional share of manufacturing nationally in the UK is 9.8 per cent, whereas in Wales the sector accounts for almost a fifth of the economy (17.3 per cent), whilst it is also above the average as a share of the economy in the East Midlands (16.4 per cent), Yorkshire & Humber (15.4 per cent), North East (15 per cent), West Midlands (14.4 per cent) and the North West (14 per cent).
Richard Austin, Head of Manufacturing at BDO said: “The manufacturing jobs growth we have seen across the last year is testament to the resilience of the sector as a whole. Manufacturing companies across the UK have had to overcome the multiple challenges thrown up by Brexit, shortages in skilled labour, pandemic-related supply chain delays and the huge energy price rises we have seen following the Russian invasion of Ukraine. While everyone is hoping for some respite, the headwinds show no sign of abating. With high inflation and interest rates continuing to rise, manufacturers will need to remain alert, responsive and resilient in the face of any future geopolitical or economic shocks.”
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