English firms plan to create 66,000 new jobs
Firms in England’s food and drink sector are planning to create tens of thousands of new jobs in the next five years, according to a new study by Lloyds Bank Commercial Banking.
The report Global Ambitions found an industry with soaring confidence and plans to invest, innovate, create new jobs and expand across the globe.
The study, which surveyed English producers and manufacturers of alcohol, fresh produce and food and drink products, was completed to understand the opportunities and challenges faced by companies in the UK’s largest manufacturing sector.
Optimism in the sector is high, with 98% of respondents saying that they expect to grow over the next five years. The majority plan to take active steps to grow by developing new products (77%), entering new markets (70%) and creating new jobs (70%).
The research indicates that food and drink firms will create 66,942 new jobs in England over the next five years.
More key findings include:
• More than three quarters (76%) of firms will target new markets in western Europe
• Eight in ten firms (83%) are confident they already have the capacity in place to cope with an upturn in production should the opportunity arise to expand into a new market
• Almost two thirds (62%) said that they need marketing and brand awareness support to succeed overseas, while three in five firms (60%) need better ‘on the ground’ knowledge of their target markets
• More than half (51%) of respondents said that they need to invest in their production facilities to grow, while 40% need to access finance
• 83% said the cost of raw materials is a potential threat to the sector’s growth plans, while 77% highlighted sustainability and 68% ingredient security.
David Richardson, regional director, head of manufacturing, mid markets at Lloyds Banking Group, says, “England’s food and drink industry weathered the recession well and has the same optimism and tenacity that has underpinned its success so far. The report paints a positive picture for the long-term – this is an innovative and ambitious industry set to create a huge number of employment opportunities.”
Melanie Leech, director general of the Food and Drink Federation, adds, “Product quality, brand heritage and a growing demand for our produce in international markets means that English food and drink manufacturers are well placed for the future.”
