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Regional / national dimension
There are few regional differences in the employment levels in manufacturing as a whole, although there are fewer employed in the North East. These levels are set to continue over the next decade. Although the decline in the numbers employed in manufacturing as a whole is expected to continue, the numbers employed in skilled metal and electrical trades is expected to rise in the South West of England
Source: Skills in England 2003
The largest proportion of manufacturing workers is to be found in:
- South East 13%
- West Midlands 13%
- North West 12%
Whilst the fewest manufacturing employees are to be found in:
- Northern Ireland 2%
- North East of England 4%
- Wales 5%
Source: SSDA Sector Skills Matrix 2004
Some sub-sectors of manufacturing are regionalised.
There are clusters of sectors in some regions, for example, there was a thriving steel industry in Wales and the West Midlands, which has now declined considerably. Food manufacturing formed around their related producers, for example, dairy food production around dairy farm regions. These, and other, clusters are mainly determined by local resources, including materials and available skills in the local workforce, and transportation costs. With the development of technology in many manufacturing sectors though, regional clusters are not always as necessary.
The Regional Innovation Fund (RIF) is administered by the Regional Development Agencies (RDAs) and provides £50 million per year to encourage innovation. In the North East, for example, the RIF has helped establish private-sector led teams to develop and implement cluster action programmes, including in bulk/base chemicals, automotive, electronics and clothing and textiles.
Source: DTI 2002
Regional distribution of employment in manufacturing, 2002/03
* base = all persons in employment other than those on college based schemes
Source: SSDA Sector Skills Matrix 2004. Based on the Labour Force Survey, four quarter average: 2002q3 - 2003q2.
Scotland
Although manufacturing sector's share of Scottish GDP has fallen over the past 30 years, manufacturing still makes up around 20% of the Scottish GDP. 282,000 people were employed in manufacturing representing 12% of total employee jobs. There are significant linkages between manufacturing and the rest of the economy. An estimated 93,000 jobs in non-manufacturing industries are related to the manufacturing sector's purchases. The manufacturing industry in its totality represents Scotland's major exporter at 60%.
Overall output in Scotland has grown faster than the UK for the majority of the last 12 years - particularly during the second half of the 1990s when growth was significantly higher. However, there has been a continuous decline in Scotland since early 2000 and output has fallen by 12.7% in the 2001-2002 period.
Source: Scottish Manufacturing Steering Group 2003
For more LMI on Scotland go to the Careers Scotland website.
Wales
Employee jobs in manufacturing in September 2003 fell by 3,000 (1.7%).
Food processing is a growing and important sector for the Welsh economy and is concerned with: bread; meat and poultry; dairies, cheese and ice-cream; fruit and vegetable processing. There are estimated to be up to 700 firms in the sub-sector, employing around 20,000 in Wales. It is relatively strong in Wales in relation to the UK as a whole.
The sector is present in all Welsh regions, but the highest proportion of firms (34%) is located in the South East, with 16% being sited in Mid-Wales. The occupational profile of the sector is dominated by a large group of operatives. Future employment and output is forecast to increase - thus describing an expanding, successful sector.
Source: Futureskills Wales 2000 and Welsh Assembly 1998
Northern Ireland
Northern Ireland accounts for a fairly low percentage of the UK’s total manufacturing output; its growth has outstripped the rest of the UK over the past five years. Its sectoral strengths include telecoms/electronics, life and health technologies, textiles and clothing, food processing and software.
Source: DTI 2002
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