CHALLENGING ECONOMIC TIMES, BUT LONG TERM OPTIMISM FROM THE UK’S NUMBER ONE MANUFACTURING EXPORTER

While nearly a third of companies from Britain’s biggest manufacturing exporter – the chemical industry – report that sales have fallen in the last 3 months, more than half the companies predict a sales increase in the year ahead. These figures are from the latest survey by the industry’s trade body, the Chemical Industries Association.The outlook also improves when it comes to exports with nearly 55% saying there will be an increase in the year ahead, compared to 23% of companies who reported export growth in the previous quarter.

There was strong backing for apprenticeships in the survey, with 9 out of 10 companies believing apprentices will provide the skills required by their business for the future. There is some doubt about the Government’s apprenticeship levy though. While nearly half (48%) support the Government’s apprenticeship levy, 52% are not convinced it is the answer.

The Association’s Chief Executive Steve Elliott said “the last three months have reminded us all how the economic world is still a very challenging place. While I am pleased at the UK’s recovery and showing against our European competitors in particular, I am concerned that we have not yet established a firm and sustainable growth platform. Our latest survey shows there is optimism to deliver that growth in the year ahead”. Elliott continued “I am also delighted at what our companies are doing on apprenticeships and the faith chemical businesses leaders have in apprentices being part of a strong future”.

ENDS

For further information please contact Simon Marsh, [email protected] or 07951 389197

The Chemicals Industry:

• Contributes £74 million a day to the UK economy, equivalent to £18.6 billion per year
  
• Spends £4.4 billion each year on investment in buildings, vehicles and machinery
• Invests almost £5 billion each year on research and development
• Manufactures products and technologies that are delivering a greener economy including delivering twice the carbon saving for society compared to what we use
• The jobs of almost 500,000 people depend directly or indirectly on the sector with pay in the sector around 30% higher than manufacturing generally
• This sector continues to be the UK’s number one manufacturing exporter
• As the UK economy continues to grow so too does the chemicals sector which grew by 4% in 2014 and chemicals production volume is anticipated to grow by a further 2.5 to 3% in 2015.