Manufacturing Performance 2007-8
Our annual report marks another year of strong performance by manufacturing, although the economic environment is becoming more challenging. Our survey shows that manufacturing performed strongly with a number of the indicators at their highest level for ten years.
Manufacturing growth in 2007
- EEF’s business trends survey shows the best conditions for manufacturing in ten years with rising levels of output and new orders matched by expanding employment levels.
- Investment intentions this year have been the strongest since 1995.
- The number of companies reporting improving profitability has risen from -4% in 2003 to 34% in 2007.
Manufacturing’s contribution to the economy
- There are 2.9 million people employed in UK manufacturing and it is responsible for 55% of UK exports.
- Manufacturers account for 75% of R&D expenditure in the UK.
- With growth of 2.9%, manufacturing productivity continues to outpace the rest of the economy.
Preparing for the economic challenges of the future
- Despite a potentially difficult future economic outlook, confidence in manufacturing and engineering remains strong and output is expected to continue to grow in 2008.
- Almost seven-in-ten companies expect the UK to remain their prime location for production and assembly over the next five years.
- Companies are constantly exploring new ways of responding to international competition with 39% citing new market entry as their top strategic priority and 71% increasing their innovation activity.
Members who are registered on our website can download the report in full from the downloads section of this page