World-class in Advanced Manufacturing
Manufacturing is vital to the UK. Contributing over £130 billion a year to the economy, it accounts for 13.5% of total UK output and 75% of all business R&D. It generates 53% of UK exports and employs around 2.5 million people. In fact, its value is even higher, since it buys in many business services that were once in-house.
The UK is the world's sixth-largest manufacturer by output (USA and China are at the top - UN figures) and has many globally operating companies. Firms such as Renishaw, Delcam, Group Rhodes and 600 Group are part of major supply chains, including those for aerospace, automotive, defence, oil & gas and medical devices.
High-profile international brands include BAE Systems, Rolls-Royce, Airbus, GKN, JCB, Caterpillar, Ford, BMW and Honda, and UK advanced manufacturing companies supply to all these businesses. UK firms work closely with OEMs, designing solutions for their products and fully exploiting skills and knowledge to strengthen the supply chain.
The latest lean processes and techniques developed by the UK sector help customers improve their productivity, flexibility and quality, ensuring they stay competitive in the global market.
Key Facts
- Manufacturing generates 13.5% of GDP and was worth £130.9 billion (GVA) in 2009.
- Manufacturing generates 53% of UK export earnings.
- There are over 131,700 manufacturers in business in the UK who between them employ over 2,570,700 people.
- The sector is quite regionally focussed with 13.1 per cent of manufacturing value add in the North West (equivalent to over £20billion GVA) and 9.6 per cent in the West Midlands.
Research & Development
Key R&D intensive areas include advanced sensors ceramics, composites, computer modelling & simulation, CNC machine tools, design & product development, fuel cells, high precision metal cutting & forming, metals joining, metrology, nanotechnology, new materials and materials processing, robotics, precision engineering and process intensification.
- 75% of business R&D in the UK is carried out by manufacturers, worth almost £12 billion.
- The UK has the second strongest research base in the world behind only the USA. Expenditure on R&D in the UK was more than £26 billion in 2008, up by 9.2% from 2007.
- The UK has the 4th highest concentration of the world’s top 1,250 international companies for R&D expenditure, including companies such as Ford, Pfizer, Airbus, Eli Lily, Nokia.
- Ford spends over £400 million in R&D in the UK.
Foreign Direct Investment
- There has been £382 million of annual net foreign direct investment into UK manufacturing each year.
- There has been £30 billion of total net foreign direct investment in UK manufacturing.
Main activities
Chemicals
- The chemical industry is one of the UK’s largest manufacturing sectors, accounting for 11% of the value added by the whole of the UK manufacturing industry.
- The industry has 60% of its output in the higher value added speciality chemicals and consumer products. This is higher than the USA with 40% and Germany with 35%.
- The chemical industry in the UK directly employs around 200,000 people in 3,365 companies in chemicals.
- The industry accounts for 2% of gross domestic product (GDP), Chemicals generates a consistent trade surplus and is the UK’s top manufacturing earner contributing a surplus over £8bn.
Precision machining
Firms like Lapmaster International produce machine components to the tightest of tolerances and can handle all sizes of work pieces. Accordingly, they offer excellent service to businesses in the tool making, aerospace, medical instrumentation, power generation and automotive sectors.
Rapid prototyping
Thanks to companies such as Rigibore and HK, the UK leads in creating new technologies that speed up the "product to market" process.
Manufacturing software
The UK is home to several world leaders in CAD/CAM software for the three-dimensional design, manufacture and inspection of complex shapes. Companies like Delcam, Alphacem and Edgecam develop software and hardware for use in all kinds of applications, from conceptual design to pattern-making and tool-making.
Manufacturing simulation
Companies like MachineWorks provide software that allows complete machine tools to be accurately visualised and modelled, and their movements in the manufacturing process predicted.
Turning, milling and metal forming
UK machine tool builders produce equipment that ranges from bespoke mechanical and hydraulic presses to advanced combination/CNC lathes and laser-profiling machines. The 600 Group has the largest volume lathe manufacturing plant in Europe and is the world's biggest manufacturer of manual/CNC lathes.
Other UK companies, such as Cincinnati Machine, Bridgeport and C Dugard, provide world-class machining and turning centres, and are leaders in systems integration. This expertise allows firms such as Group Rhodes to offer state-of-the-art manufacturing cells, incorporating presses from 10 to 5,000 tonnes.
Cutting tools
In this area there is constant development to enhance machining performance. Innovations include new insert grade for steel turning and milling, and advances to improve cutting tools' strength, reliability, durability and range of application. Notable UK companies include Brooke Cutting Tools, Cogsdill-Nuneaton and Dathan Tool & Gauge.
Workholding and toolholding
UK firms offer the latest workholding devices for all kinds of manufacturers. Companies like Coventry Toolholders, Craftsman Tools and Pratt Burnerd International supply everything from hydraulic clamping to double clamping.