Manufacturing a growth industry again, analysis says

Manufacturing a growth industry again, analysis says

The value of UK manufacturing output grew to £153.1 billion in the first quarter of 2025, a rise of 1.3% compared to the same period in 2024, according to analysis from FourJaw Manufacturing Analytics. The analysis, based on Office for National Statistics (ONS) figures, reveals that the increase is largely due to to production gains worth more…


The value of UK manufacturing output grew to £153.1 billion in the first quarter of 2025, a rise of 1.3% compared to the same period in 2024, according to analysis from FourJaw Manufacturing Analytics.

The analysis, based on Office for National Statistics (ONS) figures, reveals that the increase is largely due to to production gains worth more than £1 billion in the shipbuilding and aerospace manufacturing sectors. 

The value of Automotive, Aerospace & Transport Equipment produced in the UK increased to £33.4 billion, a rise of 6.4% year-on-year, with a 60% (£1.1 billion) increase in the value of ships and boats built in the UK and a 17% (£1.1 billion) increase in aircraft, spacecraft and related machinery production. 

Shipbuilding in the UK was worth £2.8 billion in Q1 2025, while the value of aerospace manufacturing output was £7.7 billion. The value of motor vehicle & trailer manufacturing fell by £343 million (1.68%) in the same period.

UK manufacturers also achieved year-on-year output gains in the following sectors:

  • Metals, Metal Products & Machinery manufacturing output increased by £398 million (3.4%)
  • Food Products manufacturing output achieved gains worth £318 million (1.3%)
  • Paper, Paper Products & Printed Material manufacturing output improved by £295 million (5.2%)
  • Textiles, Apparel & Leather Products manufacturing output increased by £77 million (3.2%)

The value of Chemicals & Pharmaceutical Preparations produced in the UK experienced the biggest decline, falling by £422 million (3.8%) year-on-year. 

Other sectors with declining output were:

  • Coke & Refined Petroleum Products output fell by £89 million (3.7%)
  • Computer, Electronic & Electrical Products output declined by £60 million (0.6%)
  • Alcohol & Tobacco Products output was down by £38 million (0.8%)

FourJaw Manufacturing Analytics CEO Chris Iveson, said: “After achieving a record high in output in the final quarter of 2024, it is good to see UK manufacturing deliver further year-on-year growth in Q1 2025, and productivity improvements in most sectors.

“The fact that growth was achieved despite ongoing headwinds and additional global trade uncertainty is a credit to the resilience and adaptability of UK manufacturing. UK manufacturing is a growth industry again, but these are still challenging times. Rising costs make productivity and efficiency gains crucial for the long-term viability of most manufacturers today.”


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