Embracing the future: how innovation is reshaping UK manufacturing
Innovation is reshaping productivity and creating new opportunities for UK manufacturers. In this article, Geoff Cousins, chairman at G&P, discuss the important role that manufacturing plays in the UK economy and how the industry is evolving.
While manufacturing accounts for around 10% of UK GDP and employs 2.7 million people nationwide, some say that the industry is falling behind its international peers. Addressing shortfalls by enhancing the sector through modern technologies and processes offers a chance to recover lost ground, but the industry will still face significant challenges.
Indeed, last year, the UK fell out of the top 10 manufacturing nations. Elsewhere, President Trump’s recent spate of trade tariffs have raised market uncertainty to levels not seen in decades. With half of all exported goods originating from UK manufacturing, this is bound to have a significant impact on the industry.1
To put things into perspective, the average US manufacturing worker generates $167,000 of output annually, compared to $109,000 in Britain.2 Amid political and trade uncertainties, high energy costs and lowering sales, there is trepidation. However, these pressures have placed increased focus on domestic capabilities and independence, with many countries reindustrialising. The aim is to overhaul the UK manufacturing sector, investing in the innovative technologies required for a Made in Britain resurgence.
Robotics: the automation gap
Productivity is often cited as the lynchpin of effective and successful manufacturing; greater output and results while consuming fewer resources. The UK has struggled with this metric, when compared to its G7 counterparts.
One particular area in which the UK is falling behind other leading nations is in automation. Today, the UK ranks 23rd in ‘robot density’ - a shortfall that has created an automation gap.3
If the UK was able to address this gap and match the world’s most automated countries, its productivity would increase by as much as 22.3%.4 With some 70,000 vacancies currently in the UK manufacturing sector, increased automation could play a critical role in fulfilling repetitive tasks.4 While concerns around job losses are often discussed, the reality is that those in the industry often upskill to fulfil other roles, while automation itself creates a myriad of new roles.
For manufacturers, OEMs and suppliers, finding the right talent to fill these new roles quickly can make all the difference. In a tight recruitment market, working with a partner that understands the industry and has broad capabilities can be a significant advantage.
G&P has worked with OEM clients and tiered suppliers in engineering, manufacturing, and quality assurance for more than 30 years, with its G&P Talent division recruiting contract-based skilled candidates, from technicians through to engineers and quality managers.
With an intimate understanding of the manufacturing industry, G&P Talent brings the knowledge and experience of G&P’s quality management offer into an expert recruitment solution. With a bank of talent qualified to the highest industry standards ready to be deployed quickly to plug immediate staff shortages, we offer a range of agile and flexible talent solutions, including the provision of temporary workers, contractors and permanent placements.
Industry 4.0
The fourth industrial revolution focuses on the integration of advanced digital technologies into manufacturing. The Internet of Things (IoT), data analytics and increased connectivity can provide highly valuable capabilities, including real-time monitoring and process optimisation. Increased traceability and supply chain management are also part of this digital revolution, as are additive manufacturing and more sustainable technologies.
Perhaps the most positive news is how UK manufacturers are embracing the shift. Around 65% of manufacturing executives are prepared for the rise of digital processes, for example.5
A good reflection of the current investment in UK manufacturing is the transformation of Jaguar Land Rover’s Halewood plant. Around £250 million has been invested into new production lines, machinery, people and digital technology, including 750 autonomous robots. This will be further supported by an additional £250 million in the coming years as the company rebrands as an “electric first, modern luxury carmaker”.6
Amid the digital revolution, one of the most critical areas of development has been quality assurance. As supply chains have increased in complexity, having efficient oversight over component quality has become far more difficult. For UK manufacturers seeking to prevent disruptions, G&P provides both rapidly deployed remedial and long-term quality management solutions.
Virtual reality
Virtual Reality (VR) and Augmented Reality (AR) – collectively known as Extended Reality (XR) – are finding a unique home in the manufacturing industry. Already, companies are using the technology to improve worker safety, accelerate time to market for new products, improve efficiency, as well as lowering training time and expense. This is made possible through advanced imaging and three-dimensional modelling and has also allowed manufacturers to create digital twins – digital versions of their plants – that can be used to optimise the real version.
Last year, Belfast Region City Deal and Innovate UK invested £37.6m to establish the UK Digital Twin Centre. Endorsed be industry, the Centre will help UK manufacturers to accelerate the adoption of digital twins with greater access to technology, reduced adoption costs, and skill development within the workforce.7 It comes as XR technologies are forecasted to grow by 31.7% in 2025-2026, presenting new opportunities for manufacturing processes as well as training.8
Artificial intelligence
Artificial Intelligence has the potential to significantly impact the UK manufacturing sector. Through machine learning, the industry can improve its efficiency in almost every metric to increase the quality and quantity of its output. Current applications include predictive maintenance, AI-powered quality control, optimised supply chains and complex demand forecasting.9 In niche areas, such as quality control, a significant majority (89%) of UK manufacturers have adopted some form of automated system, though this is not necessarily using AI.10
At G&P, we’ve taken our own visual inspection capabilities to the next level by investing in state-of-the art AI supported vision inspection system technology that can discriminate between ‘OK’ and ‘NOK’ components in milliseconds without the need to adjust position. With the ability to autonomously check multiple parts in a single scan, this innovative AI inspection system immediately identifies missing components, flags incorrect installation and monitors targets under even the toughest conditions.
However, broader evidence suggests that industry as a whole has been slow to integrate AI into current processes. Around 52% of manufacturers say they are in the ‘evolution’ stage of using AI and only 7% claim to have ‘very good’ knowledge of it.11 According to Make UK, around 75% of companies plan to increase AI investment in the next twelve months.12
One UK company that has embraced AI, especially for safety-critical functions, is Rolls-Royce. The company is constantly pulling data from its aerospace engines, of which around 3,000 are airborne at any given time. Its analytics systems are running all year round and utilise 150 algorithms to comprehensively search for anomalies.13 It is an excellent safety-led application of machine learning with substantial real-world benefits.
Future of UK manufacturing
While the UK manufacturing industry may have struggled in recent years when compared to its peers, innovation is helping to reshape the sector. Technology can unlock new opportunities for efficiency, sustainability and competitiveness, particularly when implemented with an agile and knowledgeable partner.
Moving forward, there is an opportunity for the UK government to take positive action with Invest 2035, the new industrial strategy. If the sector can successfully update and upskill through this new strategy, the UK could re-establish itself as a global manufacturing leader.