Most manufacturers believe the UK remains competitive for the industry, despite rising costs and a potential trade war, according to a new report.

A survey of senior executives by Make UK found that about three in five plan to increase investment in response to a long-term industrial strategy.

A third of respondents said they believe the economy will deteriorate this year.

Make UK urged the government to set out in detail, as soon as possible, proposals for a formal long-term industrial strategy.

Chief Executive Stephen Phipson said: ‘Manufacturers have demonstrated their resilience over and over again in recent years and, despite the numerous challenges they face, those that remain innovative and are prepared to invest in new technologies, expanding markets and, most crucially, their people, will continue to thrive.

‘It is now vital that the government sets out as a matter of urgency the immediate and significant priorities as part of its formal industrial strategy, given the very clear benefits manufacturers believe this will bring.’

Cara Haffey of PwC UK, which helped with the survey of 160 executives, said: ‘While it’s true that UK manufacturers are navigating a complex business landscape, compounded by rising costs, there’s a palpable sense of optimism and resilience underpinning the sector’s trajectory for 2025.’

Industry Minister Sarah Jones said: ‘It’s great to see such high confidence from businesses in our Industrial Strategy, which will drive investment into the economy and help boost jobs and living standards in every part of the UK, delivering on our Plan for Change.

‘Our world-class manufacturers are vital to delivering the Industrial Strategy, with advanced manufacturing one of its key growth sectors, and we’ll continue to do everything we can to promote the UK’s cutting-edge industries to global investors.’

By Alan Jones, PA Industrial Correspondent

Press Association: Finance

source: PA

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