Manufacturers across the Midlands have voiced mixed responses to the Chancellor’s Autumn Statement, with many expressing concerns over the impact of increased costs on business confidence. The government’s plans for green investment and tax strategy have been cautiously welcomed, but there is concern that rising employer costs could hinder the sector’s growth prospects.
Bridge Cheese, a commercial dairy manufacturer based in Telford, voiced its apprehensions. Managing Director Michael Harte, whose business has expanded to a £30 million turnover in just six years, expressed worry over the increase in National Insurance payments for employers. While welcoming the government’s green commitments, Mr Harte remarked, “The increase in employer National Insurance contributions, combined with wider economic uncertainty, will likely keep business confidence low across the sector.” He added, “While I recognise the Chancellor is working with a limited set of cards, these additional costs may make it difficult for businesses to invest and grow.”
Mr Harte said Bridge Cheese has aligned itself with the government’s green initiatives, working with local partners to reduce landfill waste and rationalise transport routes to cut its carbon footprint. “We’re committed to reducing our environmental impact, and the government’s focus on making Britain a clean energy superpower is a step in the right direction. Time is running out to protect the planet for future generations, and we cannot ignore the science,” he said.
Meanwhile, Aviramp, an aviation specialist and Queen’s Award holder, welcomed the focus on green initiatives but raised concerns over rising employment costs. CEO Graham Corfield noted that recent hikes in employer National Insurance would make it more costly to hire staff, contradicting the government’s stated commitment to economic growth. “The increase in employer National Insurance, coupled with recent changes to employment law, makes it harder and more expensive to recruit. It’s hard to reconcile this with the government’s commitment to fostering growth,” said Mr Corfield, whose company is the global leader in step-free, non-slip boarding ramps and has seen a 30% rise in orders this past year.
Mr Corfield did, however, welcome the government’s commitment to green investment, citing Aviramp’s longstanding work with solar-powered products as a foundation for future sustainability efforts. “We have championed green initiatives for years, and we’re delighted to see the government prioritising sustainability,” he added.
In the steel sector, Telford-based Fabweld Steel Products also offered a mixed response. Managing Director Wayne Carter said the sector needs reassurance and support to adopt new technologies and remain competitive, especially against international competitors in green technology. “Manufacturing needs support to integrate advanced, green technologies. With China and Europe already pushing ahead, the UK must stay competitive. I am hopeful about the government’s new industrial strategy, but we’ll need clarity on what these investments mean in practice.”
Mr Carter added that targeted investments in skills and training, as mentioned in the Budget, would be crucial in building a workforce capable of adapting to new industrial technologies. However, he noted the need for detail on how changes to National Insurance and other tax policies will impact manufacturers.
As Midlands manufacturers look to the future, they are calling for clearer policies that will support growth without adding unsustainable costs to their operations.