01174 621101
- The Department for Business & Trade (DBT) is requesting feedback on the challenges facing UK advanced manufacturing companies in accessing long-term growth capital.
- Responses need to be received by 23:59 on Tuesday 26th November.
- WEAF calls for UK Government to collaborate with regions to create effective reporting mechanisms.
Following the release of Invest 2035, a green paper seeking industry feedback on key growth sectors, the UK Government now aims to understand why advanced manufacturing scale-ups struggle to secure investment for technological development and commercial success.
Advanced Manufacturing is one of eight key growth areas marked for investment. Sarah Jones MP, Minister for Industry at the Department for Business and Trade and the Department for Energy Security and Net Zero, commented: “The Industrial Strategy will help ensure a pro-business environment and drive regional growth by supporting high-potential clusters.”
The evidence shared will directly influence the upcoming Industrial Strategy; consequently, policies will be implemented to promote growth and address existing barriers.
WEAF welcomed the UK Government’s acknowledgement of the Make UK, Beyond ambition: Advanced manufacturing, 2024 report, noting manufacturing indirectly contributes more than 20% of UK GDP, highlighting its vital role alongside the supply chain to both industry and national prosperity.
The report also notes that increasing advanced manufacturing capabilities helps lessen dependence on imports of essential technologies, many of which have weak supply chains. However, it notes that the UK cannot fully replace all critical good imports with domestic production; increasing manufacturing capacity in key sectors can enhance diversification and supply chain resilience.
Within Invest 2035, the UK Government stressed the importance of Place particularly when it comes to the distribution of investment. A mechanism for funding into the region needs to be enacted, which involves key stakeholders, such as WEAF and other regional aerospace associations respectively, who understand the challenges and opportunities facing primes, SMEs and the supply chain in their areas and have the expertise to support decision-making on growth.
Colin Turner, CEO of WEAF, commented: “WEAF appreciates HM Government’s commitment to addressing the barriers SMEs face in accessing funds and investment in the Advanced Manufacturing sector. This collaborative engagement with industry is a positive step toward influencing the upcoming Industrial Plan.
“To enhance these efforts, it is essential to recognise that beyond financial support, tangible barriers related to skills, real estate, business rates, and capital equipment investment also impact supply chain growth and resilience.
“In line with Invest 20235, where the Government highlighted the significance of Place, we encourage collaboration with regional experts to develop effective reporting and engagement mechanisms – as these key players can help drive the market.”
As part of this fact-finding exercise, companies which have not supplied information to the Government in this area before and are advanced manufacturing firms with experience in raising finance to scale up are invited to participate.
The call for evidence seeks reply to 22 questions, covering, but not limited to, financial hindrances to growth, reasons for businesses seeking funding, and accessibility to financial initiative pools.
WEAF can support members who wish to respond to the UK Government’s “Call for evidence on access to finance for advanced manufacturing scale-ups.” The questions are available here.
It is important to use this opportunity to voice the barriers to funding for Advanced Manufacturing scale-ups. This will help shape the Industrial Plan and by replying in volume, together we can stress the importance of funding to our industry in the South West.
As always, we welcome your feedback on this Call for Evidence, please do reach out to WEAF directly for support and advice on how we can use this Strategy to ensure government funding is directed to the South West for our high-end technologies and skills.
Sources:
About WEAF:
WEAF is the trade association for all companies operating in the Aerospace & Defence sector in the South West.
As one of the largest aerospace and advanced engineering clusters in Europe, we can provide a strong voice for our members, as well as representation and access to prominent regional, national, and international decision makers in industry and government.
By providing support and new opportunities for our members, we strive to improve efficiency and effectiveness in the supply chain and bring stakeholders together to create one cohesive community.