UK manufacturers have stepped up digital investment, a new survey shows. | So Good News
UK manufacturing to boost productivity; The digital industrial revolution is increasingly being embraced to improve energy efficiency and overcome supply chain shocks caused by COVID and Brexit.
That’s according to a major report released today by Make UK and enterprise software specialist Infor.
But four in five manufacturing companies now plan to boost digital investment over the next two years, amid growing concerns that skills shortages could hamper the drive to work smarter and greener.
In response, Make UK is urging the government to protect vital digital support programs in the next round of spending. These include successful programs such as Digital Enhancement and Helping Smart to help SMEs develop digital skills and practices in particular.
And to unlock greater innovation and ideas, Make UK calls on the Government to accelerate private investment in R&D by extending the R&D tax credit to include capital goods within eligible expenditure.
According to Make UK, the survey shows that current financial challenges and rising energy costs mean that manufacturers intend to increase their investment in digital technologies over the next two years.
As a result, Companies are marketing; product design; We are moving into an ‘evolutionary’ phase of digitalisation, implementing changes in production systems and finance.
However, A third of companies in the survey said the biggest barrier to faster digital adoption is still a lack of technical skills within the business.
Verity Davidge, policy director at Make UK, said: “Our economy is undergoing a profound digital transformation with the potential to transform our lives and business, making it more productive, resilient and sustainable. Countries that are better prepared for these changes will benefit the most by increasing their investment power, with companies increasing their investment power with better productivity, better skill levels and reduced emissions.
“The key now is for manufacturers to unlock their potential in digital usage and that will be key if we want to invest and grow. To help this process, the government must protect important support programs for SMEs, especially throughout their digital journey.”