The History of UK Manufacturing
Following the industrial revolution in the late 18th century, manufacturing contributed significantly to the UK’s early economic growth. Revolutionary changes to manufacturing, factory systems, and growth of transportation by railway and steamships led to this growth. As a result, by 1948, manufacturing contributed 48% to the UK GDP. However, the postwar decades brought with them a decline in manufacturing as it lost the competitive advantage it had once served. The 1970s marked a crisis point for the UK due to high inflation and the worldwide energy crisis. This lead to mill closures, the collapse of the coal industry, and a significant fall back in the steel and car-making industries. By 2013, manufacturing’s contribution to the UK economy had fallen to 13%. By comparison, the service industry grew to 79%. But do these statistics mark the end of the UK’s manufacturing era?The Powerhouse of UK Manufacturing
Despite the way the country’s manufacturing ‘decline’ looks, the UK remains the 8th largest manufacturer in the world. The last 70 years may have marked a turbulent time for UK manufacturing industries, but it isn’t the case that UK manufacturing is disappearing. In fact it’s on the rise, with the sector growing at its fastest rate for over six years as of September 2020. The Office of National Statistics reports that the UK’s industrial sector has increased by an average of 1.4% a year since 1948. Government initiatives such as Reshore UK, back in 2014, have contributed to the rebuilding of UK manufacturing in recent years. The service offered dedicated support for businesses wanting to bring their manufacturing back to home shores and create new jobs. In 2020, a government fund of £300 million was allocated to businesses to boost the UK’s manufacturing capabilities. Following the impacts of the pandemic on business in the UK, this funding will help to “build back better” and recover industries from the damages felt through a year of lockdowns and limitations.What is still manufactured in the UK?
In 2017, UK manufacturing accounted for between 12-15% of the UK economy. This may seem a significant drop since the manufacturing prime of 1948. Still, considering population growth and industry growth, the UK produces more in absolute terms than previously.
Quality over Quantity?
When it comes to choosing a manufacturer for a product, several factors will influence the choice. The most obvious of which are cost and quantity. How many/much of the product or resource can be manufactured, and how much will it cost. There is a common conception that manufacturing in the UK is an expensive choice, hence why it is not always the first. Eastern countries like China have a high export rate for manufactured goods. But there is also the assumption that products made in these places lack the same quality that you might find from, say, Germany or the UK.Manufacturing in the UK has its own benefits.
Alongside being more practical in terms of shipping and transportation, the UK is also known for quality. Without generalising, many businesses are returning to UK manufacturers as the “quality is better”. Benefits of UK manufactured goods- Value to the UK economy
- Creates and sustains jobs
- High level of quality control
- Less supply chain risk
- Lower transportation costs
- Reduced delivery times
- Better for the environment
- Better communication
It all adds up
It may be fundamentally cheaper to manufacture in China, but extra shipping costs wouldn’t be necessary if manufacturing happened at home. You should also think about the environmental impacts of shipping products all the way from China.
It’s been widely documented that China is the worlds largest contributor of Green House Gasses. Outsourcing to manufacturing from foreign countries only contributes to their carbon footprint. We all have our part to play.
Costs may add up from other issues, too, such as delays and rectifying mistakes. The essential manufacturing cost is not the end of the line.
Ultimately, the benefits of UK manufacturing are the expertise, accessibility, collaboration and communication that it fosters.
By manufacturing close to home, the benefits of being in the same time zone, more convenient visiting, and not relying on technology to communicate can encourage a much more productive manufacturing process that cultivates and preserves quality.
Creating A Sustainable Manufacturing Industry
The next decade is going to be pivotal for the protection of the environment.
Across all industries, changes and innovations are being made to adapt to the planet’s needs and reduce the impacts businesses have on it.
Creating a sustainable manufacturing industry will be vitally important in this journey.
Bringing manufacturing back to the UK will play a key role in reducing the impact of manufacturing on the planet. This is primarily because of the reduced costs (both financial and environmental) of keeping manufacturing close to home and reducing the distances required for products and their components to travel.
CMT Group were the first company to stock UK manufactured face masks during the pandemic. Furthermore, back in October 2020, CMT proudly announced an exciting partnership with Breast Cancer Now, bringing UK made Pink Face Masks to the market
By keeping the production close to home, you significantly reduce the carbon output caused by, for example, hauling products or their components across seas. There is much to be gained by sourcing these things locally wherever possible.
Here at CMT we are always looking for ways we can reduce our carbon emissions and impact on the planet. It’s a work in progress but we are striving for carbon neutrality across the company. Our electric vehicle fleet helps us reduce emissions when making deliveries and our UK manufacturing helps keep our impact low. We will continue to seek ways we can improve operations to be as sustainable as possible.
UK Manufacturing, Transparency and the Planet.
While UK manufacturing has its own benefits for environmental sustainability, many changes still need to be made
Paving the way for more sustainable practice is transparency.
A culture of transparency must be created by businesses to ensure consistent dedication to sustainable practice. This will then encourage other companies to follow suit.
It has been shown that businesses committed to environmental, social and governance practises are more robust than their competitors. As a result, it benefits the planet and the sustainability of the business.
Change your Manufacturing Mindset
Suppose society moves away from ‘cheap and cheerful’ products with a short life span and start investing in quality items that last longer. This change in attitude will help to cultivate a more sustainable manufacturing ecosystem.Reassessment and redesign of products and manufacturing processes also encourages and cultivates sustainability.
It's easy to identify and address weak spots in the sustainability of products and processes by taking a fresh look at how they are designed.
Similarly, industrial and agricultural processes will also need to become ultra-efficient. This will help mitigate their impacts on the environment and their sustainability.
Addressing issues in existing processes may seem like a costly and time-consuming task. Still, the pay off will be worth it to create a manufacturing process that is efficient and better for the planet and business.
What can manufacturing do for our economy?
Our status as a “big player” in industries such as aerospace and pharmaceuticals means manufacturing is already contributing a great deal to our economy.
Based on growth trends, we're likely to see the UK become a top 5 largest manufacturer in the future.
The prospects for UK manufacturing are good, and this fosters a better attitude towards it.
It's a cyclical process. As more products are manufactured here, this encourages people to pursue manufacturing-based careers.
The key to continuing this growth for manufacturing and its contribution to the economy is innovation.
So long as we continue to innovate our methods, training and general attitude towards the manufacturing process, we are likely to see the positive impact on the UK economy increase as we move forward.
How does CMT benefit from UK manufacturing?
Here at CMT, we understand the value of manufacturing on home soil.
A critical foundation of our business is convenience, with quick delivery times and a dedication to fast processing. Our electric fleet is key to this efficiency. Additionally, our intelligent system has a 98% satisfaction rating, contributing greatly to our fast service times.
To get products to the buyer super-fast times being able to restock rapidly. UK manufacturing helps make that possible.
The coronavirus pandemic meant that supplies and stock of PPE such as masks quickly became stretched.
This was an issue that countries worldwide were facing. Relying on manufacturers overseas was no longer viable.
We saw this issue, and in response, began to manufacture Type IIR and Surgical masks ourselves, here in the UK.
We are proud to have been one of the first UK manufacturers of these masks; playing our part in keeping people safe through a challenging year.
We also produce pink masks of which each purchase of the ensures a donation to Breast Cancer Now. Each purchase helps them continue to fund their outstanding research and support.
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