UK manufacturers are confident in 2018 and willing to invest
According to information found from a Lloyds Bank survey – which analysed more than 200 UK manufacturers – 59% of the industry is anticipating a rise in business activity in 2018.
This number is lower than July of last year, which found 62% of manufacturers expected the increase in activity.
However, the levels of growing expectation in firms across the pan-sector UK average is only at 56%, and the confidence in increase was down 6 points shortly after the EU referendum.
33% of companies within the industry presume they will invest more money into their manufacturing businesses, whilst only 18% are aiming to spend less.
More than a quarter of manufacturers are planning on increasing their levels of hiring, at 26%.
47% of firms believe their turnover will expand, whilst 37% anticipated turnover to hold steady.
Just under half of companies are expecting their order books to grow in the first half of the year, at 48%.
It is believed that the confidence in order books is underpinning the overall confidence within the sector.
“The picture painted by our latest Business in Britain survey is a reassuring one, with manufacturers in buoyant mood,” reported Dave Atkinson, UK Head of Manufacturing at Lloyds Bank Commercial Banking.
“Over the past six months, many have grown their order books and this is giving them the confidence to make investment plans. Uncertainty remains but there is every reason to believe the sector will continue to be resilient during 2018 and beyond.”