Posts tagged Manufacturing
The survey of 398 firms found that output growth over the last three months remained steady but subdued.
But the outlook is much brighter for the next quarter, with output volumes expected to rise rapidly – the strongest expectations since April last year – with the anticipated pick-up in variety of markets and mechanical engineering sectors.
Exports orders are also at their highest level for three months, while total orders are broadly flat. Meanwhile expected price inflation has fallen back to levels last seen midway through last year.
Anna Leach, CBI Head of Economic Analysis, said: “Manufacturers appear more optimistic about the next few months than the official figures and commentary would suggest, with sharp rises in output expected right across the sector.
“Total orders were steady and in line with long-run averages and there was some pickup in exports, possibly helped by the weak pound.
“Price expectations have fallen to the lowest level for six months – driven by inflation expectations plummeting from near-record highs in the food, drink and tobacco sector.”
The proposed investment would also support the development of a new 25,000 sq ft manufacturing business centre which will pave the way for new employment in the trades.
Secretary of State for Communities and Local Government Eric Pickles, who visited the Enterprise Zone at Daedalus yesterday, revealed that £15 million of the investment will be used for building new homes and a community centre.
Hampshire County Council and the Department for Business, Innovation and Skills, which are funding the project, have forecast that the development could create 1,182 jobs, of which 828 will be permanent.
Secretary of State Eric Pickles said: “This over £25m boost for the Solent Enterprise Zone will unlock its huge potential to deliver growth, homes and jobs and make a real difference to Gosport.
“It is local business and commerce that creates the growth and jobs this country needs and it’s this Government’s job to foster the conditions for those businesses to thrive.
“That is why through the Government’s Growing Places Fund and the setting up of Enterprise Zones, we have empowered local enterprise partnerships to drive forward their own local economic development.”
Colin Molton from the Homes and Communities Agency said: “This package of investment is great news for the local economy, which stands to benefit significantly from the ripple effect of new jobs and businesses coming to the Solent Enterprise Zone.
“This has been the result of partners working closely together to devise an innovative package which will maximise the use of the funds available to have a real positive impact on the ground.”
The Business Secretary, Vince Cable, has confirmed plans to create government backed ‘business bank’ which will help companies to invest and create new trade jobs.
Vince Cable’s new institution includes a series of collaborative strategies between businesses and government that are forecast to advance manufacturing and boost the trade industry.
Cable outlined his plans, committing to a long term, strategic partnership that will give businesses clarity about where the Government will be concentrating its efforts.
Speaking at Imperial College, London, Business Secretary Vince Cable said: “Our first part of that plan is lifting the barrier that poor access to finance puts on growth. By helping firms to invest capital, businesses expand, and create jobs.
“But I am also setting out a clear and ambitious vision, a commitment far beyond the usual political timescale that will continue to bear fruit decades later.
“It will give our businesses certainty, allow them to make their own plans, and know that the full weight of Government is behind them. We will work in a strategic partnership with industry, focusing our support on specific sectors. This is our commitment to growth in action.”
The speech sets out a number of other actions including:
- Creating a new institution to help companies invest in capital and drive their expansion. The scale and modus operandi of the institution are still under discussion, but it could operate through alternative providers such as the new challenger banks and non-bank lenders. Not only would this boost their lending capacity, but would also corral existing provision such as co-investment and guarantees to support business expansion.
- Developing a series of collaborative but challenging sector strategies in advanced manufacturing, knowledge-intensive traded industries, and the enabling industries. This will include building strategic partnerships with industries and targeting support for them to help realise their substantial growth prospects.
- The Business Secretary announced that 34 bids had been successful in the first round of the Employer Ownership pilot scheme securing £67 million of public funding and generating £98 million in private investment, making sure that employers can access exactly the sort of skills they need. Ensuring our world class skills policy is linked closely to the industrial strategy, in order that industry gets the skills they need to continue growing. This objective underpins the employer ownership pilot scheme where employers have been putting together radical plans to develop their own training programme.
- Accelerating the journey from pure academic research to a commercial product being brought to market to help boost ground-breaking technologies of the future. The Government has already made £180 million available to support the commercialisation of innovations in the life sciences sector and building on this new approach, there will now be a new Innovation and Knowledge centre in Synthetic biology to explore the opportunities this sector presents.
- Recognising Government’s role as a customer and developing a more intelligent partnership with its own supply chain by reforming procurement to make sure that businesses have confidence to take long-term investment decisions.
What is your reaction to the government’s plan to create ‘business bank’ which will help companies to invest and create new trade jobs? Share your thoughts by commenting here or raising your voice on our Facebook and Twitter pages.
BCC suggests in its Quarterly Economic Survey that businesses are growing but the the pace of activity is too slow for a sustainable recovery. Director General of the BCC, John Longworth, urged the government to take a bolder approach to boosting economic growth. He recommended measures including the creation of a state-backed business bank, and investment in infrastructure as critical to get the economy growing.
Mr Longworth said: “Growth cannot wait. The government must take an imaginative and brave approach to stimulating the economy and helping businesses thrive.”
The survey found manufacturing home orders has edged up two points, to +8%, the strongest level since the second quarter of 2011. The service employment balance increased six points, to +10%, representing the highest level since the recession began in 2008.
The report indicates a surprising growth over manufacturers’ intentions to invest in training which rose to +18%, the best level for the last four years.
Although, business confidence is still below its 2007 level, manufacturers’ profitability is reported to have increased three points, to +24%, also the strongest level since the last quarter of 2010.
What’s your reaction on the findings by the BCC which suggest the manufacturing and the service industry are growing in times of austerity? If you are working in one of those sectors, share your thoughts by commenting here or raising your voice on our Facebook page.
The pharmaceutical giant GlaxoSmithKline (GSK) has confirmed an investment of £500 million across its manufacturing sites to increase production of its products whilst providing a major boost for the UK’s construction and manufacturing industry.
The company announced today it will build a new state-of-the-art manufacturing facility in Cumbria, North of England. An investment of £350 million for building the new facility would create hundreds of jobs and provide work opportunities for people in the building sector.
Building construction work is anticipated to begin within the next two years depending on obtaining the necessary planning consents. It is likely to take up to 6 years before the new facility is entirely completed.
The significant investment comes after Chancellor of the Exchequer, George Osborne, confirmed yesterday in Budget 2012, the government’s commitment to introduce a lower rate of corporation tax on profits generated from UK-owned intellectual property.
Chief Executive at GSK, Sir Andrew Witty, said: “The introduction of the patent box has transformed the way in which we view the UK as a location for new investments, ensuring that the medicines of the future will not only be discovered, but can also continue to be made here in Britain.”
Prime Minister David Cameron welcomed the investment as “excellent news” for businesses saying that cutting business tax will attract further investment to the British economy.
“It shows why we are right to cut business tax and focus on making the UK a dynamic and competitive place that can attract exactly this type of high tech investment.”- Mr Cameron said.
Additional investment of more than £100 million was also confirmed for GSK’s two manufacturing sites in Irvine and Montrose, Scotland. The company also said that it will invest in sustainable green energy production and environmentally friendly manufacturing technologies in the future.
A leading energy efficient firm has published a report suggesting that the UK’s manufacturing industry could save as much as £1.4 billion per year by switching to a new lighting technology which will significantly reduce spending on energy costs.
The report, entitled The Light Bulb Moment, is based on a 4-year survey conducted by Vita Energia across 500 manufacturing and industrial firms, each employing over 100 members of staff. Vita Energiaexplores the different methods that UK businesses can use to improve their energy efficiency with minimal investment and help cut carbon emissions.
It has been estimated that by upgrading existing lighting technology, UK manufacturing and industrial businesses could make huge savings which will have a real impact on energy usage in commercial premises across the UK.
The report concludes that addressing the current light efficient systems within the manufacturing sector will provide a timely boost to the UK’s industry operational performance and contribute to economic growth in the future.
Director of Vita Energia, Duncan Stevens, said that the report is a valuable indication for UK business to optimise their performance and make improvements across different manufacturing and industrial sites in the UK.
Speaking to Business Green, Mr Stevens said: “The calculations are very robust, they are based on detailed surveys of lighting technologies and fittings, and energy prices at a variety of locations; the evidence is there that energy efficient lighting systems can save firms a lot of money.
“The technology is now proven and people can see it delivers substantial savings; the focus for businesses has to be on the economic case for these types of deployments.” Mr Stevens added.
What is your reaction to the report by Vita Energia? Do you think you or your business could make savings by adopting more efficient lighting systems? Share your thoughts by leaving a comment below:
With the increased funding, the total amount available to firms that are looking to create new jobs will reach £2.4 billion. The scheme is expected to make a significant contribution to the manufacturing and construction industry.
Deputy Prime Minister Nick Clegg said the RGF is already having a huge impact on jobs’ creation because businesses across the UK now have the investment which will contribute to their local economy. The Liberal Democrat shared his enthusiasm about using the money for carbon cutting initiatives that will have positive effects on the environment and the renewable sector.
Mr Clegg said: “There have been over 170 successful bids to the fund, leveraging around £7.5 billion of private sector investment and set to create and protect 330,000 jobs. I want to see more businesses that are confident they can create jobs and get Britain building”
“Funding from rounds one and two has gone to some extraordinarily promising manufacturing projects. From Pirelli Tyres in Carlisle who’ll use the money to develop a new range of carbon-cutting tyres; to a Portsmouth based company which hopes to use theirs to create a cutting edge boat building college.
“These projects will lead their communities into brighter times, helping put industry at the heart of the UK’s economy. Businesses have until June to apply for a share of this extra £1 billion.”- Deputy Prime Minister Clegg added.
How would your business benefit from the £1 billion investment of the Regional Growth Fund? Share your thoughts by leaving a comment below:
The survey conducted by the purchasing managers’ index (PMI) has shown a sharp increase in output, a rise in new orders and a fall in cost faced by the manufacturing and civil engineering sector.
The Chartered Institute of Purchasing and Supply (CIPS) reported companies have seen indications that customers are increasingly willing to spend.
Chief executive at CIPS, David Noble, welcomed the statistics saying they are good news for the manufacturing sector. However, Mr Noble mentioned that more time will be needed for the manufacturing industry to establish whether growth is sustainable.
He told the BBC: “The UK manufacturing sector has sprung to life in the first month of 2012 to defy any economic gloom, but it is too early to say whether this trend is sustainable.”
Meanwhile, the UK’s leading infrastructure contractors have urged the government to continue with delivering recently announced investments for improving infrastructure and boosting businesses across the UK.
The government has previously said in its Autumn Statement for 2012 that a key priority for growth will be the Building and Construction Industry –with recent investment of over £5 billion to improve contractors’ order books for years ahead.
Do you think the good performance of the Civil Engineering and Manufacturing sector is a result of the huge investment by the UK government to stimulate future growth? Share your thoughts with us on Facebook or just by leaving a comment below:
According to the research, British workers believe a decent salary is key to career satisfaction, cited by 64%, as well as a sense of achievement in your work (59%) and being able to work the hours you want (46%).
The hospitality and leisure sector ranked the highest in the survey, 29% labelling themselves as very satisfied.
The research, carried out among 1,200 British workers and commissioned by Train4TradeSkills, shows only 14% of workers in retail and 15% in transportation could say they were very satisfied.
Overall, 28% of British workers admit they are not satisfied in their current job and only one in four have no plans to change their career in the next five years.
Twenty four per cent of manufacturing staff classified themselves as very satisfied in their current job, revealed the Manufacturer.
However, better salaries don’t always equal greater job satisfaction. Only 24% of those earning £25,000 – £29,999 are dissatisfied in their job, compared to 27% who earn between £35,000 and £49,999.
Mike Head of Train4TradeSkills, commented: “There are many people working in Britain who are not satisfied in their current job and while pay is deemed important, it’s interesting to see that big salaries do not always equal career satisfaction.”
Mr Head added: “The process of retraining and changing careers can be a challenge, but by looking for cost-effective courses that offer virtual learning and the ability to work while you learn, many Brits could find themselves embracing a career they love in the next few years.”
The study shows that overall, the vast majority (84%) of British workers agree there were aspects of their current job that they don’t like. However, 64% have highlighted that there are factors stopping them from changing their careers if they were to pursue this. The key issues for those being stopped from changing their careers were revealed as: not being able to afford to take a pay cut (37%), not being able to afford to retrain (29%) and simply not knowing what they want to do instead (35%). provides the latest developments in manufacturing sector, from production and maintenance to logistics and IT.
Do you feel satisfied in your current job? Is there anything you would like to change in your career and why? Share your thoughts by commenting below: