The North East manufacturing sector is set to shrink this year but companies are seeing a rebound in activity, an industry group says.
The Manufacturing Outlook survey from Make UK and accountancy firm BDO shows a marked pick-up in early 2023 as compared to the final quarter of last year. The improving picture in the North East has been attributed to strong performance in the mechanical equipment sector and manufacturers possibly taking advantage of the last few months of the super-deduction tax scheme.
The survey found that both output and orders picked up in the North East, driven primarily by UK orders. The improving picture is leading manufacturing firms to plan both recruitment and investment, and companies are more confident in future prospects than previously.
