PA Consulting’s head of manufacturing, Tim Lawrence, is quoted in the Financial Times discussing UK manufacturing and fears that the sector is about to enter a period of decline akin to the 1980s.
Tim says: “I’m not sure there’s a common fundamental thread, but I think there could be some trouble brewing for the sector. The biggest risk is the uncertainty for the UK sector around Brexit – the impact that’s having on investment in the sector and [on] productivity.”
The article talks about how a no-deal departure from the EU would be a serious problem for many manufacturers who rely on frictionless trade to source components and export goods.
It then looks at how there are signs that foundations are not being laid for the future, fewer manufacturing companies are achieving high growth and the number of start-ups in the sector has dropped.
Tim continues: “The risk is if we don’t invest in all this technological development going on… then our competitiveness in the next 10 years will be markedly reduced, which could lead to an eventual reduction in our ability to compete on a global basis.”