Manufacturers in Yorkshire & the Humber have seen the highest increase in output of any English region or devolved nation in the last decade, as well as the best recovery in output since the pandemic, according to a new report out today.
The Make UK/BDO Annual Regional Manufacturing Outlook report shows that since 2013 output in the region has increased by 40%, while output in 2023 was 17% above the pre-pandemic levels recorded in 2019, also the best in the UK.
The importance of the manufacturing sector to the region’s economy overall is highlighted by the fact it accounts for almost 15% of the region’s total output, well above the national average. It also accounts for 287,000 highly skilled jobs, 10% of the region’s employment overall.
Three major sectors account for just under half of Yorkshire & Humber’s manufacturing production with the largest being the Chemicals sector with almost a fifth (17.5%) of industrial output. This is closely followed by the Food and Drink sector (17.4%) and then Metal Products (essentially steel) at 14.1%.
In 2023 Yorkshire & The Humber accounted for 5% of the UK’s total goods exports with the EU being the dominant destination (56%) making it one of the most dependent of any English region or devolved nation. This is followed by the United States (16%) and Asia & Oceania (12%).
Commenting, Dawn Huntrod, Region Director for Make UK in the North said: “Industry remains critical to the growth of the economy, providing high value, high skill jobs and aiding the process of creating wealth across the UK. The new Government has made a welcome bold statement of its intent to tackle the UK’s anaemic growth at national and regional level.
“It should now back this with a radical, cross government, long-term industrial strategy which has the need to tackle the UK’s skills crisis at its heart. This should be allied with the local growth strategies and priorities of each region, including infrastructure and innovation, together with other measures to ensure the UK is now fully open for business.”
Steve Talbot, Head of Manufacturing at BDO in Yorkshire, added: “Over the last decade the manufacturing sector has become vital to Yorkshire & the Humber and the health of the regional economy. Over the last few years, manufacturers across the region have faced multiple external shocks and changing policy priorities.
“They have shown great resilience in overcoming these challenges. There is now an exciting opportunity for the sector to work with the new government on the development of a new long-term industrial strategy. This could unlock vital investment needed across the region to continue to bolster manufacturing output and skilled employment opportunities crucial to the regional economy.”
