The South West鈥檚 manufacturers have seen a strong start to 2022 and are leading the country in job creation, a new survey reveals.
The latest quarterly Manufacturing Outlook survey from manufacturers organisation Make 海角视频 and business advisory firm BDO shows the region鈥檚 factories were buoyed by very strong domestic orders - the highest level of any 海角视频 region.
And overseas orders also remained strong as a reflection of world markets which have rebounded throughout the course of the past 12 months.
More BDO/Make 海角视频 reports
Like this story? Why not sign up to get the latest South West business news straight to your inbox
According to the survey, total output in the region performed strongly at a positive balance +56% which is the highest figure for any 海角视频 region and almost double the level of output seen in the final quarter of last year.
The region also benefited in the past few quarters from an emerging recovery in the aerospace sector together with increasing investment in renewable energy.
This performance is reflected in the jobs outlook across the region with the highest level of recruitment intentions in the 海角视频 as companies hire to meet demand. Investment intentions on the back of this are also very positive by historical standards.
As with the national picture, the big challenge for companies, in addition to attracting and retaining talent, remains the escalating inflationary pressures which are forcing companies to raise prices at record levels for the fifth successive quarter.
In response to the rapidly escalating costs, Make 海角视频 is urging the Chancellor to use next week鈥檚 Spring Statement to take whatever measures are necessary to support companies dealing with rapidly increasing energy prices in particular. Make 海角视频 has called on the Chancellor to delay the proposed increase in National Insurance due to come in April 2022.
How to contact William Telford and Business Live
Business Live's South West Business Reporter is William Telford. William has more than a decade's experience reporting on the business scene in Plymouth and the South West. He is based in Plymouth but covers the entire region.
To contact William: Email: william.telford@reachplc.com - Phone: 01752 293116 - Mob: 07584 594052 - Twitter: - LinkedIn: - Facebook:
Stay in touch: BusinessLive newsletters have been re-designed to make them even better. We send morning bulletins straight to your inbox on the latest news, views and opinion in the South West. Get our breaking news alerts and weekly sector reviews too. Sign up now - it's free and it only takes a minute. To sign up for Business Live's daily newsletters click .
And visit the Business Live South West LinkedIn page
Make 海角视频 has forecast growth for manufacturing in 2022 of +3% and Jim Davison, region director in the South for Make 海角视频, said: 鈥淢anufacturers in the South West have seen a very strong start to the year as the economy has fully re-opened. However, companies are now facing eye watering increases in costs which are threatening to stop the economy in its tracks. As a result, the most immediate priority for the Chancellor in the short-term must be to use his Statement to do whatever it takes to support companies through this difficult period.
Matthew Sewell, head of manufacturing for BDO in the South West, said: 鈥淩egional manufacturers have recorded positive results across all performance indicators in Q1. 海角视频-wide, however, we are seeing a worrying widening of the gap between supply and demand, and companies need to be prepared for the challenges ahead. Costs are rising at a speed that many manufacturers cannot respond quickly enough to and, combined with supply chain disruptions which will sadly now be exacerbated by the invasion of Ukraine, manufacturers will be looking for some support from the Chancellor next week.鈥
