Government needs speedy manufacturing plan: EEF

25-Oct-2016 - Last updated on 26-Oct-2016 at 08:02 GMT

EEF calls on government to speed up its plan for industry post-Brexit

The government needs to speed up its long-term strategy plans to support the growth of the manufacturing sector claims EEF, the manufacturers’ organisation.

In a report – ‘Manufacturing Ambitions: an industrial strategy for a stronger economy’ – with bank NatWest, EEF said that complacency was ‘not an option’ and it wanted a coherent and consistent policy to support manufacturing businesses across the pre- and post-Brexit divide.

The study of 135 senior decision makers across the manufacturing sector showed that three quarters (76%) were going for growth, while seven in 10 (71%) had a three- to five- year business plan in place.

Almost two-thirds of firms (63%) were focused on driving up productivity, while margins (71%) and sales (64%) were also key targets in manufacturers’ growth plans, the report revealed.

Government goals

It welcomed the fact that a UK-wide industrial strategy was back on the government’s table but said it must clearly set out goals for growth to deliver a more skilled workforce; more resilient infrastructure; a lower cost of doing business and better support for growing businesses.

The manufacturing industry calls were backed up by a new poll showing nine in 10 UK adults (90%) agreed that the UK needed a comprehensive, long-term industrial strategy and 86% wanted the government to promote a stronger manufacturing base in Britain.

Get it right

Terry Scuoler, ceo of EEF, said: “We need to get this right and we need to get this in place now so that manufacturers’ growth ambitions are supported across the pre- and post-Brexit divide.

“It is not enough to talk about an industrial strategy – it is time for the government to draw a line under the stop-go efforts of the past and to demonstrate its commitment to industry by putting some much-needed flesh on the bones.

“Manufacturers are not just talking about future growth – they have firm plans in place to make it happen. Their ambition and drive will help get the sector and our economy on the road to stronger, better-balanced growth, but this must be matched by government. If we are to stay the distance and realise the full benefits for the UK then complacency is not an option.”