The West’s small to medium-sized manufacturers are encouragingly positive in their outlook with nearly two thirds (64%) expecting to increase turnover over the next six months, according to the latest Barometer survey by the Manufacturing Advisory Service (MAS).
This confidence – a rise of 23% from the same quarter last year – is further reflected by investment intentions, with nearly half (47%) of the 160 firms taking part expecting to increase spending on machinery – a 6% increase on last quarter.
More than half (525) also report an increase in turnover within the last six months, another rise from the previous quart
er – higher than the national sales figure of 43%. In addition 48% report an increase in order books and 42% higher inquiry levels.
MAS South England area director Simon Howes, pictured, said: “It is reassuring to see so many of our manufacturers forecasting an increase in turnover given both the UK overall economic contraction in the final quarter of 2012 as revealed by the ONS and the ongoing concerns surrounding recovery in the eurozone.
“This demonstrates the resolve of manufacturers in the region as well as illustrating that many are still finding opportunities to grow.”
Business Secretary Vince Cable added: “Manufacturing is a key driver in our economy, which is why it takes centre stage in the Industrial Strategy for growth. It is vital that Government and industry continue to work together to address growth priority issues like access to finance and attracting young people into the sector.”
Advetec, a manufacturer of treatment of effluent and waste technologies based near Radstock is among the firms to have increased turnover and is forecasting to do so again over the next half year.
Chief executive Craig Shaw said: “We have been able to change our whole business model in just one year by expanding our sales globally. We now export all over the world and have seen a substantial rise in turnover.
“Tendering for significant UK contracts continues and we have been approved to supply a leading defence organisation as well as getting onto the official provider list for a major nuclear power station. We have signed up to do future projects with MAS as we look to develop other technologies. Their support is invaluable.”
MAS is funded by the Department for Business, Innovation and Skills (BIS) and works with businesses to develop a culture of innovation, generating new product ideas and market opportunities. Many of its services are free and supplemented by appropriate grant funding.
