Investment boost by manufacturers to drive productivity.
New research suggests that manufacturers across the UK are looking to invest in a range of operations over the next two years in a bid to boost productivity.
A survey carried out by manufacturers’ organisation EEF and Lombard Asset Finance revealed 95 per cent of respondents are planning to invest to improve productivity, along with three quarters of companies planning to plough cash into their workforce and management.
More than half of manufacturers also said that they’ would consider increasing investment if conditions in the Eurozone recover.
Lee Hopley, chief economist at EEF stated “Some of the barriers that companies’ investment strategies came up against following recession have clearly faded, but it’s vital that their current plans stay on track. Some sectors are facing some headwinds from more uncertain demand, but big questions about the future economic prospects for European partners present one of the biggest external risks to firms’ ability and confidence to press ahead with vital investment.”
Ian Isaac, head of Lombard, added: “Manufacturers continue to lead the way for the UK economy, recognising that improved productivity is the key driver to deliver ongoing and sustainable growth.
