The confidence of suppliers of tools and equipment to engineering-based manufacturing is at a two-year high, stats from the Manufacturing Technologies Association reveal.
The level of confidence about the future is at the highest since mid-2011 and a large majority of companies are predicting improvements in their businesses over the next 12-months.
Graham Dewhurst, MTA director general, said the study represents good news that its members are looking forward to the future.
“2013 has been a strong year for the industry with order and sales at good levels throughout. What is also good news is that we can now see a clear trend in employment with companies’ workforces growing at an annualised 6%,” he said.
“If the manufacturing technologies sector is doing well then it means that UK manufacturing is investing in its future. But we need to be sure that continues into the medium and long term.”
Mr Dewhurst added that despite the upturn, there is still more to be done.
“The UK is a great place to manufacture, but it could be better still. We now have a competitive tax regime in place for R&D, but Government needs to capitalise on that by making the other side of the investment coin – plant and equipment – globally competitive too.
“That can be done through bringing capital allowances up to international ‘best in class’ standards.”