Make UK said its research suggested that one in four manufacturing firms would increase their investment if access to finance was improved
Manufacturers are potentially missing out on billions in investments due to economic and political uncertainties as well as increased costs that pose barriers to obtaining finance, a report suggests.
Research from Make UK indicates that one in every four manufacturing firms could boost their investments if they had better access to finance. The report emphasises the importance of financial accessibility for future investment plans in vital areas like capital equipment, automation, energy efficiency, and cyber security.
Over half of the 100 firms surveyed admitted they didn’t know about public finance sources and government schemes specifically for manufacturers. Fhaheen Khan, from Make UK, stated: “Access to finance is like fuel for manufacturers. Without it many manufacturers would be unable to make the continuous investments in capacity and innovation which are so essential in such a dynamic sector with an ever-changing external environment.”
He added: “However, there is currently significant investment which is lying untapped due to a lack of awareness among companies of the private and public options available to them. If we can unlock the options that finance provides, then it will produce significant potential for manufacturers.”
Make UK has estimated that manufacturers are possibly failing to take advantage of up to £10billion worth of investment potential.