Manufacturing & Engineering Survey – Scottish ResultsSeptember 22, 2015
Together with MHA and Bank of Scotland we surveyed over 400 businesses in the manufacturing and engineering sectors in July 2015. Our respondents ranged from companies turning over less than £1m to global giants with a significant industry presence, nationally and internationally.
Our report focusses on respondents from Scotland and, where appropriate, considers these results as part of the UK-wide picture. Key findings from the survey are as follows [UK-wide responses shown in square brackets]:
• Almost three-quarters (74%) of respondents think their business will grow over the next 12 months [UK 76%]
• Only 4% of respondents thought it would benefit British business and the economy to leave the EU [UK 10%]
• 31% of respondents said they currently export [UK 62%] • Increase in wage costs is the main concern (62%) over what will drive up production costs during the next year [UK 71%]
• Red tape is a problem for the vast majority of respondents (98%) – Scottish and UK – and 70% of respondents feel it is a burden which is increasing [UK 55%]
• In terms of recruitment, the main challenge for respondents (49%) [UK 54%] lies in finding experienced engineers and other skilled staff, including machinists/technicians. For both Scotland and the UK as a whole recruiting skilled staff is seen as the main barrier to growth.
• 60% of respondents expect to take on trainees/apprentices next year [UK 56%]
• Currently, 66% of respondents made some investment in R&D compared to 79% for the UK as a whole
• 32% of respondents indicated they are not aware of R&D Tax Credits [UK 17%]