Manufacturing News – Late October 2025
Estimated reading time 3 minutes
The announcement of a long-term industrial strategy is set to bring immediate benefits to the UK economy, with more than a third of companies saying they will now accelerate investment projects as a direct result of the announcement according to a major annual survey on investment priorities published by Make UK and RSM UK.
Key findings:
- 37% of companies will increase investment in response to the Industrial Strategy
- Decarbonisation, AI and digital technologies to be main focus of investments
- Almost 4 in 10 companies make investment decisions based on the availability of incentives
- But investment intensity is the lowest since the EU Referendum
- Confidence in domestic demand the biggest driver of investment, while frequent changes to tax policy cited as one of the biggest barriers
However, Make UK and RSM UK are urging the government to use the forthcoming Budget to not just safeguard vital investment incentives which the survey shows are key drivers of manufacturers’ investment decisions but, to extend them further. According to the survey, almost four in ten companies (37%) make their investment decisions based on the availability of tax reliefs.
The subcontract manufacturing market carried on growing in the third quarter of 2025. It was up 10% on the previous quarter, which had already seen dramatic growth from April onwards.
However, following a strong start, the market slowed down in September. The CMI for the third quarter of 2025 was 113, compared with 103 for the second three months of the year.
JCB ‘backs Britain’ with £100m factory investment despite tax and tariff fears.
Spending would be going towards modern manufacturing facilities at the company’s main UK factory in Staffordshire.
JCB has unveiled plans to plug £100 million into modernising its Staffordshire head office, as its boss said the firm was “backing Britain” despite concerns about future tax rises and steel tariffs.
ASG King & Fowler, the Liverpool-based aerospace surface treatment specialist, has received formal Airbus approval for its newly installed, fully automated tartaric sulphuric anodising (TSA) line.
It hailed it as a landmark achievement following the successful completion of its major £2m investment programme.
The approval confirms the new TSA line’s compliance with aircraft manufacturer Airbus’s rigorous specifications and positions King & Fowler as a strategic supplier for next-generation aerospace components requiring REACH-compliant anodising processes.
