Manufacturing & Engineering Report 2017/18
In conjunction with the MHA association of UK independent accountancy firms and Bank of Scotland, we are delighted to present our Manufacturing & Engineering Report 2017/18.
“There is growing confidence in the manufacturing and engineering sector in Scotland – the sector is certainly gritting its teeth in what has been a difficult and uncertain period.
However, we should not be complacent and the survey has found that despite the ambitions, growth is being constrained and companies continue to be under increasing pressure to cut costs, meet the rising prices of raw materials and embrace new technologies if they are to survive.
The sector continues to have difficulty recruiting staff with the relevant skills, the pressure on which is likely to increase as some businesses are at risk of losing staff due to Brexit. It is encouraging that the sector has ambitions to grow staff numbers over the next 12 months and continue to offer apprenticeships and grow talent from grass roots to try and fill the skills gap. The Scottish and UK Governments need to continue to support the sector and expand skills training for the future workforce in schools and colleges.
I hope you will enjoy reading our survey and I invite you to contact us with feedback or to discuss the findings in more depth. Our thanks go to the survey respondents for taking the time to contribute and to the Bank of Scotland for sponsoring our report.”
Gavin Black, Partner, Manufacturing Group, Henderson Loggie
- 65% are predicting growth for 2017/18
- 45% expect staff numbers to increase in the next 12 months
- 72% have difficulty recruiting employees with the relevant skills
- 36% currently export, down from 50% last year
- 84% expect production costs to continue to rise
- 22% cited Brexit concerns as a key barrier to growth
Click here to download our Manufacturing & Engineering Report 2017/18