Small to medium sized (SME) manufacturers in the South West are faring well against the national manufacturing outlook, according to the latest Barometer from the Manufacturing Advisory Service (MAS).
Over half (54 per cent) of the 130 respondents reported an increase in turnover compared with six months ago, while exactly half said order books had increased within the same period. By comparison, results from the national MAS barometer revealed figures of 47 per cent and 49 per cent respectively.
There has also been an increase in the number of South West manufacturers reporting an upturn in enquiry levels, which now stands at 43 per cent.
Simon Howes, MAS Area Director for South England, said: “In what is clearly still a challenging economic environment, it is reassuring to see some fairly encouraging results in our latest survey, building on those from the previous quarter. The manufacturing base in the South West is diverse and this may be partly why the picture for the region’s SME manufacturers is different to the national outlook.”
Business and Energy Minister Michael Fallon said: “MAS works with businesses to maximise their efficiency, reduce waste and grasp new commercial opportunities – all key drivers for growth. I would encourage SMEs seeking to improve their operations and increase their bottom line to contact their local MAS advisor.”
The barometer also reports upbeat forecasts for the next six months, with over two thirds (67 per cent) of businesses anticipating an increase in turnover and 44 per cent looking to take on staff. However, there appears to have been a slight decrease in investment plans.
Simon Howes added: “It is encouraging to see a sizeable increase in the number of South West businesses expecting to increase staff numbers. This mirrors results from CBI’s latest quarterly SME Trends Survey in which manufacturers reported expecting to see a modest increase in headcount in the coming quarter.”
