Published: 18th Jun 2019

The economic value of manufacturing to the UK is being underestimated by as much as half in official statistics which is causing significant issues for policymakers, according to a new report from the University of Cambridge. The manufacturing sector plays a significant role in the UK economy and according to official statistics provides over 2.7 million jobs, makes up 49% of UK exports, and contributes 66% of all UK R&D business expenditure. However, manufacturing’s contribution to the UK economy – about 9% of GDP – appears to be dwarfed by services, which make up 70% of UK GDP. But according to the report, this is misleading. It says manufacturing may be ‘significantly’ higher in economic contribution and underestimating it could have serious implications for national decision-making. The report, ‘Inside the Black Box of Manufacturing’ by Dr Jostein Hauge and Dr Eoin O’Sullivan from Cambridge’s Institute for Manufacturing, was carried out for … (To read the full article, subscribe below)