ROUND-UP OCTOBER 2019
InDepth £192bn
Fast facts: UK manufacturing
The annual
output of UK
manufacturing
Ninth
The UK is the
ninth biggest
industrial nation
66%
Two-thirds of
R&D takes place
in manufacturing
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Europe remains dominant export
market for UK manufacturers
Exports of British-made products to
the top seven EU markets totalled
£236.5 billion between May 2018
and May 2019, according to the latest
state-of-the-industry report by Make UK
and Santander. This is more than twice
the amount exported to the largest single
export market, the United States.
UK Manufacturing 2019/20: The Facts
also demonstrates how manufacturing
remains central to the success of the
economy overall, accounting for twothirds
of overall R&D, 45% of exports, 15%
of business investment and 2.7 million
high value jobs which are better paid than
the economic average. With an annual
output of £192 billion, the UK remains the
ninth largest manufacturing nation.
“These fi gures lay bare the importance
for manufacturers of trade with our
closest market and the need to avoid
imposing any barriers which will make
this more diffi cult,” commented Seamus
Nevin, Make UK chief economist.
With Brexit uncertainty continuing
to loom large, a further Make UK report
has highlighted some of the risks facing
the UK’s industrial heartlands. The annual
Regional Manufacturing Outlook report,
in association with BDO, highlights
manufacturers’ contribution to the
economic regions of the UK.
It found that some of the UK’s most
economically deprived regions are at
risk of a double whammy hit to their
economies in the event of a ‘no deal’
Brexit. According to the analysis Wales
(almost two thirds), the North East and
Yorkshire & Humber (both 60%) have
a very high exposure to trade with the
EU. The contribution of manufacturing
to the economy overall in Wales and
the North East is way above average
(17.5% and 15.2% respectively), meaning
the risks of ‘no deal’ are likely to be felt
disproportionately by these areas.
Given Wales and the North East
both contain some of the most
economically disadvantaged areas of
the UK, a hard Brexit is likely to prove
especially damaging for these areas.
“Policymakers need to be on high
alert to deal with the fallout from this
to ensure manufacturers do not suff er
collateral impact as a result,” warned
Make UK CEO, Stephen Phipson. “This
underlines why we strongly support calls
for the government to agree a deal with
the EU which protects and supports
British manufacturers.”
Major jobs boost for
Scottish space sector
More than 260 jobs will be created in
Scotland’s space sector following a
£14.7 million investment in Glasgow
satellite manufacturer, Spire Global.
The San Francisco-headquartered
company has received one of the largest
funding packages ever provided by
Scottish Enterprise.
Spire Global builds, tests and operates
nanosatellites that track aviation,
maritime and weather patterns. It
currently has 84 satellites in orbit around
the Earth, according to its website.
The latest investment will enable it
to move into a new 3,700m2 facility at
Glasgow’s Skypark facility and increase
its workforce from 60 to 320 over the
next five years. The company initially
opened its Glasgow oce in 2014 with
just 50 employees.
Scotland’s space industry is booming:
the country builds more small satellites
than any other European nation, and
one-fifth of all UK space jobs are based
north of the border.
Commenting, Scottish First Minister,
Nicola Sturgeon said: “Our space sector
is already punching above its weight.
Spire Global’s expansion sends a strong
message that even in these uncertain
times, Scotland remains open for
business and has the potential to be
Europe’s leading space nation.”
“Glasgow has been a fantastic
location for us, with exceptional talent
and people with a phenomenal ‘can-do’
attitude and true grit,” added Peter
Platzer, CEO of Spire Global. “We are
excited to substantially expand our
presence here and look forward to the
continuation of strong partnerships
within Scotland, the UK Space Agency,
and the wider UK space ecosystems.”
Charlie Smith, managing director
for International Development, Strategy
and Technology at Scottish Enterprise,
added: “Spire Global’s expansion plans
for Glasgow are incredibly exciting
and will provide a huge boost to the
Scottish economy.”
8 www.manufacturingmanagement.co.uk
In partnership with:
MakeUK.org
With support from:
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