Research suggests that total orders for manufacturers have ground to a halt and are ‘way down’ from the peaks of 2017
(
Getty
)
Britain’s manufacturers have ended the year at a “standstill” amid ongoing political uncertainty and a downturn in major global markets, new research suggests.
A survey of more than 330 companies indicated they will only ramp up investment when the “direction of travel” over Brexit becomes clear.
The study suggested that total orders for manufacturers had ground to a halt and were “way down” from the peaks of 2017.
Download the new Indpendent Premium app
Sharing the full story, not just the headlines
Manufacturing group Make UK said one in four of companies view increasing investment allowances as the main priority for the new government, with a fifth wanting cuts in corporation tax.
Manufacturers’ confidence in the economy has picked up slightly but this is likely to have been influenced by a no-deal cliff edge being avoided at the end of October, said the report.
Business news: In pictures
Show all 11
Business news: In pictures
1/11 Corbyn wishes Amazon a happy birthday
In a card sent to Amazon CEO Jeff Bezos on the company's 25th birthday, Labour leader Jeremy Corbyn writes: "You owe the British people millions in taxes that pay for the public services that we all rely on. Please pay your fair share"
2/11 No deal, no tariffs
The government has announced that it would slash almost all tariffs in the event of a no-deal Brexit. Notable exceptions include cars and meat, which will see tariffs in place to protect British farmers
Getty
3/11 Fingerprint payment
NatWest is trialling a new bank card that will allow people to touch their hand to the card when paying rather than typing in a PIN number. The card will work by recognising the user's fingerprint
NatWest/PA Wire
4/11 Mahabis bust
High-end slipper retailer Mahabis has gone into administration. 2 Jan 2019
Mahabis
5/11 Costa Cola
Coca-Cola has paid £3.9bn for Costa Coffee. A cafe chain is a new venture for the global soft drinks giant
PA
6/11 RIP Payday Loans
A funeral procession for payday loans was held in London on September 2. The future of pay day lenders is in doubt after Wonga, Britain's biggest, went into administration on August 30
PA
7/11 Musk irks investors and directors
Elon Musk has concluded that Tesla will remain public. Investors and company directors were angry at Musk for tweeting unexpectedly that he was considering taking Tesla private and share prices had taken a tumble in the following weeks
Getty
8/11 Jaguar warning
Iconic British car maker Jaguar Land Rover warned on July 5, 2018 that a "bad" Brexit deal could jeopardise planned investment of more than $100 billion, upping corporate pressure as the government heads into crucial talks
AFP/Getty
9/11 Spotif-IPO
Spotify traded publically for the first time on the New York Stock Exchange on Tuesday. However, the company isn't issuing shares, but rather, shares held by Spotify's private investors will be sold
AFP/Getty
10/11 French blue passports
The deadline to award a contract to make blue British passports after Brexit has been extended by two weeks following a request by bidder De La Rue. The move comes after anger at the announcement British passports would be produced by Franco-Dutch firm Gemalto when De La Rue’s contract ends in July.
The British firm said Gemalto was chosen only because it undercut the competition, but the UK company also admitted that it was not the cheapest choice in the tendering process.
11/11 Beast from the east economic impact
The Beast from the East wiped £4m off of Flybe’s revenues due to flight cancellations, airport closures and delays, according to the budget airline’s estimates. Flybe said it cancelled 994 flights in the three months to 31 March, compared to 372 in the same period last year.
1/11 Corbyn wishes Amazon a happy birthday
In a card sent to Amazon CEO Jeff Bezos on the company's 25th birthday, Labour leader Jeremy Corbyn writes: "You owe the British people millions in taxes that pay for the public services that we all rely on. Please pay your fair share"
2/11 No deal, no tariffs
The government has announced that it would slash almost all tariffs in the event of a no-deal Brexit. Notable exceptions include cars and meat, which will see tariffs in place to protect British farmers
Getty
3/11 Fingerprint payment
NatWest is trialling a new bank card that will allow people to touch their hand to the card when paying rather than typing in a PIN number. The card will work by recognising the user's fingerprint
NatWest/PA Wire
4/11 Mahabis bust
High-end slipper retailer Mahabis has gone into administration. 2 Jan 2019
Mahabis
5/11 Costa Cola
Coca-Cola has paid £3.9bn for Costa Coffee. A cafe chain is a new venture for the global soft drinks giant
PA
6/11 RIP Payday Loans
A funeral procession for payday loans was held in London on September 2. The future of pay day lenders is in doubt after Wonga, Britain's biggest, went into administration on August 30
PA
7/11 Musk irks investors and directors
Elon Musk has concluded that Tesla will remain public. Investors and company directors were angry at Musk for tweeting unexpectedly that he was considering taking Tesla private and share prices had taken a tumble in the following weeks
Getty
8/11 Jaguar warning
Iconic British car maker Jaguar Land Rover warned on July 5, 2018 that a "bad" Brexit deal could jeopardise planned investment of more than $100 billion, upping corporate pressure as the government heads into crucial talks
AFP/Getty
9/11 Spotif-IPO
Spotify traded publically for the first time on the New York Stock Exchange on Tuesday. However, the company isn't issuing shares, but rather, shares held by Spotify's private investors will be sold
AFP/Getty
10/11 French blue passports
The deadline to award a contract to make blue British passports after Brexit has been extended by two weeks following a request by bidder De La Rue. The move comes after anger at the announcement British passports would be produced by Franco-Dutch firm Gemalto when De La Rue’s contract ends in July.
The British firm said Gemalto was chosen only because it undercut the competition, but the UK company also admitted that it was not the cheapest choice in the tendering process.
11/11 Beast from the east economic impact
The Beast from the East wiped £4m off of Flybe’s revenues due to flight cancellations, airport closures and delays, according to the budget airline’s estimates. Flybe said it cancelled 994 flights in the three months to 31 March, compared to 372 in the same period last year.
Stephen Phipson, chief executive of Make UK, said: “Uncertainties about the outcome of Brexit and the impending general election continue to weigh on the UK manufacturing sector but the build-up to Christmas has brought a much needed boost.
“Firms are reporting weaker business activity overall, especially from the domestic UK market, but export orders have increased slightly this quarter, indicating greater confidence from foreign customers about purchasing UK goods as concerns about an end-of-year no-deal Brexit fade.
“Manufacturers will hope that the next 12 months will see a return to Westminster focusing on critical issues such as delivering a long term vision for the economy.”
Tom Lawton, head of manufacturing at BDO, which helped with the research, added: “Investment levels have slightly improved this quarter following a series of declines since the start of the year.
“While this is positive, and possibly a sign that the prospect of a no-deal Brexit is less of a short-term worry, firms are still facing an uphill battle.”
Subscribe to Independent Premium to debate the big issues
Want to discuss real-world problems, be involved in the most engaging discussions and hear from the journalists? Start your Independent Premium subscription today.
Independent Premium Comments can be posted by members of our membership scheme, Independent Premium.
It allows our most engaged readers to debate the big issues, share their own experiences, discuss
real-world solutions, and more. Our journalists will try to respond by joining the threads when
they can to create a true meeting of independent Premium. The most insightful comments on all subjects
will be published daily in dedicated articles. You can also choose to be emailed when someone replies
to your comment.
The existing Open Comments threads will continue to exist for those who do not subscribe to
Independent Premium. Due to the sheer scale of this comment community, we are not able to give each post
the same level of attention, but we have preserved this area in the interests of open debate. Please
continue to respect all commenters and create constructive debates.
Comments
Share your thoughts and debate the big issues
Please be respectful when making a comment and adhere to our Community Guidelines.
You can find our Community Guidelines in full here.
-
Newest first
-
Oldest first
-
Most liked
{{/moreThanOne}}Please be respectful when making a comment and adhere to our Community Guidelines.
You can find our Community Guidelines in full here.
-
Newest first
-
Oldest first
-
Most liked
{{/moreThanOne_p}}Follow comments
Vote
Report Comment
Subscribe to Independent Premium to debate the big issues
Want to discuss real-world problems, be involved in the most engaging discussions and hear from the journalists? Start your Independent Premium subscription today.
Already registered? Log inReport Comment
Delete Comment
About The Independent commenting
Independent Premium Comments can be posted by members of our membership scheme, Independent Premium. It allows our most engaged readers to debate the big issues, share their own experiences, discuss real-world solutions, and more. Our journalists will try to respond by joining the threads when they can to create a true meeting of independent Premium. The most insightful comments on all subjects will be published daily in dedicated articles. You can also choose to be emailed when someone replies to your comment.
The existing Open Comments threads will continue to exist for those who do not subscribe to Independent Premium. Due to the sheer scale of this comment community, we are not able to give each post the same level of attention, but we have preserved this area in the interests of open debate. Please continue to respect all commenters and create constructive debates.