Amid a period of intense economic uncertainty, we engaged with 1,000 manufacturers from across the UK to gain a clear, on-the-ground perspective for a political party keen to understand the realities facing British industry. Our research captured the mood of a sector at a crossroads—balancing resilience and innovation with mounting pressures from all sides.

Key Findings from the Manufacturing Community:

Manufacturers reported that the current economic climate is marked by a sharp rise in costs—particularly employment taxes, energy, and raw materials—which has forced many firms to freeze recruitment, delay investment, and in some cases, consider redundancies. The first quarter of 2025 saw a notable fall in both output and orders, with business confidence dipping to levels not seen since the pandemic. For the first time in a decade, output fell in the opening quarter, and both domestic and export orders slowed significantly.

Despite these headwinds, the industry’s resilience remains evident. Many manufacturers are doubling down on productivity improvements and automation, with 68% citing technology adoption—such as AI and cloud solutions—as key to driving efficiency and reducing costs

. Energy efficiency and the transition to net zero are also high on the agenda, as firms seek to control overheads while meeting sustainability targets

*Opportunities and Strategic Shifts

While short-term prospects are challenging, there is a sense of cautious optimism: 63% of manufacturers believe the opportunities in 2025 outweigh the risks, and nearly half are looking to expand their product portfolios or invest in innovation as a route to future growth.

The government’s renewed focus on investment and reshoring is seen as a major opportunity, with strategic investment in domestic production and supply chain resilience considered vital for long-term prosperity

* What Manufacturers Need

The feedback was clear: manufacturers are calling for greater stability, targeted government investment, and policies that address rising costs and skills shortages. Many also highlighted the need for support in adopting new technologies and accessing export markets, as well as reforms to reduce the burden of employment and business taxes

* Impact for Policymakers

These insights provided the political party with a nuanced, data-driven understanding of the sector’s challenges and opportunities. The findings are now shaping policy proposals and advocacy efforts, ensuring that the voice of British manufacturing is heard at the highest levels—and that future strategies are grounded in the real experiences of those driving the industry forward.

During and after the Covid-19 restrictions, supply chain disruption became one of the most pressing challenges for UK manufacturers. To understand the full scope and impact, we engaged with 1,500 manufacturers across a range of sectors, asking them to share their experiences, the effects on their operations, and the strategies they were adopting to address the ongoing issues.

Key Issues Identified:

The vast majority of manufacturers reported that supply chains remained “under pressure” through 2024 and into 2025, with 93% expecting continued difficulties

The most frequently cited problems included:

Delays in sourcing raw materials and components, often due to global bottlenecks and shipping backlogs.

Rising costs for materials, energy, and logistics, squeezing margins and forcing difficult pricing decisions

Labour shortages and skills gaps, which further complicated efforts to adapt or reshore supply chains

Regulatory changes and geopolitical uncertainty, including new trade barriers and compliance requirements, adding complexity and risk to international sourcing

Impact on Business Operations:

Manufacturers described a wide range of impacts, from increased downtime and reduced output to lost sales and delayed product launches. Research indicates that downtime alone could cost UK and European manufacturers over £80 billion in 2025.

Many businesses were forced to freeze recruitment, delay investments, or pass on higher costs to customers, while some considered reducing their product lines to focus on more resilient or profitable offerings.

How Businesses Are Responding:

Despite these challenges, manufacturers are taking proactive steps to build greater resilience:

 Localising and diversifying supply chains: Many are seeking to source more materials domestically or from a broader pool of suppliers to reduce dependency on single sources and mitigate risk.

Investing in technology and automation: Firms are accelerating digital transformation to improve supply chain visibility, forecasting, and efficiency.

Strengthening collaboration: There’s a growing emphasis on closer partnerships with suppliers and customers, sharing information to anticipate and respond to disruptions more effectively.

Advocating for policy support: Manufacturers are calling for government action on skills, innovation funding, and regulatory reform to help strengthen the UK’s supply chain infrastructure.

Conclusion:

The insights gained from these 1,500 manufacturers provided a clear, data-driven picture for policymakers and industry leaders. While the challenges are significant and ongoing, the sector’s focus on localisation, technology, and collaboration offers a pathway to greater resilience and competitiveness in a turbulent global environment

For a joint venture between a recruitment agency and a logistics company, we conducted a comprehensive research project, interviewing 800 logistics companies across the UK. The aim was to gather industry-wide opinions on a broad array of topics, capturing the pulse of a sector that is both a cornerstone of the UK economy and a bellwether for future trends.

Key Themes and Insights:

Logistics leaders shared their perspectives on the sector’s current landscape, shaped by economic uncertainty, rapid digital transformation, and evolving consumer expectations. Despite sluggish economic growth—predicted at just 1.2% for 2025—the logistics industry continues to generate £170 billion annually and employs 8% of the UK workforce, underscoring its critical role in national prosperity.

Technology and Digital Transformation:

A significant majority of companies reported accelerating their adoption of digital technologies, with 86.5% planning to go digital in the near future. The Electronic Trade Documents Act has streamlined documentation, but concerns remain over cybersecurity and the costs of digital upgrades

. Many respondents see AI, automation, and dynamic routing as essential for meeting rising consumer demands for same-day and even within-the-hour delivery windows

Sustainability and Green Logistics:

Environmental responsibility is now a top priority. Companies are investing in electric vehicles, alternative fuels, and energy-efficient warehouses to meet both regulatory requirements and customer expectations for greener operations

The expansion of Low Emission Zones and government incentives are accelerating this shift, though infrastructure and upfront investment remain challenges.

General consensus with 98% of companies surveyed, believe that the net zero and green agenda targets was detrimental to british manufatoring and logistics. 

Labour and Skills:

Recruitment and retention of skilled workers are ongoing hurdles, with the sector still feeling the effects of pandemic-era workforce changes and a persistent skills gap. Many firms are responding by investing in training, offering clearer career progression, and improving working conditions to attract and retain talent.

Market Dynamics and Consolidation:

The industry is experiencing a wave of mergers and acquisitions, as companies seek to expand their capabilities, geographic reach, and resilience through strategic consolidation.

This trend is expected to continue, particularly among businesses focused on last-mile delivery, automation, and data analytics.

Operational Challenges and Opportunities:

Rising costs, regulatory changes, and the need for warehousing to support booming e-commerce were frequently cited as challenges. However, many companies are optimistic, pointing to infrastructure investments, smart partnerships, and the ongoing growth of e-commerce as key drivers of future opportunity

Impact for the Joint Venture:

The insights gathered from these 800 logistics businesses provided the joint venture with a nuanced understanding of sector priorities and pain points. This intelligence is now guiding recruitment strategies, workforce development programs, and the design of new service offerings—ensuring the venture is positioned to support logistics companies as they navigate a period of rapid change and opportunity.

When a leading supplier of components to manufacturers wanted to sharpen their competitive edge, they recognised that understanding what truly drives supplier selection was essential. To uncover these critical insights, we embarked on an ambitious research project, engaging with 10,000 companies—from small manufacturers to large-scale industrial players—across the UK and Europe.

Key Findings: What Companies Want from Suppliers

Through a combination of surveys, interviews, and focus groups, we explored the full decision-making process behind supplier selection. The findings revealed a complex but clear hierarchy of motivators:

Reliability and Consistency: 

The most frequently cited factor was a supplier’s track record for on-time delivery and consistent product quality. Companies emphasised that even the most innovative component is worthless if it doesn’t arrive as promised or fails to meet exacting standards.

Price and Value:

While competitive pricing remains important, many respondents stressed that value goes beyond cost alone. Transparent pricing structures, flexible payment terms, and the ability to offer volume discounts or bundled services were all seen as significant advantages.

Responsiveness and Communication:

Companies want suppliers who are easy to reach, quick to respond, and proactive in keeping clients informed about lead times, order status, and any potential issues.

Technical Support and Expertise: 

Many businesses look for suppliers who can offer technical advice, troubleshooting, and even co-development of custom solutions. This partnership approach is especially valued in sectors where innovation and rapid problem-solving are crucial.

 Sustainability and Ethics: An increasing number of companies are factoring in suppliers’ environmental credentials, ethical sourcing, and compliance with industry standards as part of their procurement criteria.

Digital Integration: 

Seamless ordering platforms, real-time inventory visibility, and integration with clients’ own procurement systems are becoming “must-haves” for efficient, modern supply chains.

Impact and Outcomes:

Armed with these insights, the component supplier was able to fine-tune its marketing and sales strategies. They revamped their messaging to highlight reliability, technical expertise, and digital capabilities, and introduced new service features such as enhanced customer support and flexible ordering options. Sales teams were trained to focus on building relationships and understanding the specific needs of each client segment.

The result was a measurable improvement in lead generation, conversion rates, and customer retention. The company also saw an uptick in positive feedback and referrals, as clients recognized the supplier’s commitment to delivering what matters most.

Conclusion:

This large-scale engagement demonstrates the power of listening to the market at scale. By understanding the real-world priorities and motivators of 10,000 businesses, the supplier was able to position itself as a trusted, responsive, and forward-thinking partner—unlocking new growth and deepening its relationships across the manufacturing sector.

For a major logistics player aiming to sharpen its competitive edge in a rapidly evolving market, we conducted an extensive competitor analysis of hundreds of logistics companies across the UK and Europe. This project was designed to give our client a granular understanding of the marketplace, enabling them to structure their forthcoming sales, marketing, and customer experience strategies with precision.

Our analysis covered a broad spectrum of competitors, examining their market share, service offerings, operational models, technological investments, and customer engagement tactics. We assessed both established giants and agile newcomers, benchmarking their performance in key areas such as last-mile delivery, warehousing solutions, sustainability initiatives, and digital integration. We also tracked recent mergers and acquisitions, noting how larger firms were consolidating to expand scale and reach—a trend accelerating in 2025 as logistics businesses seek resilience and efficiency in the face of economic headwinds.

We identified that the most successful competitors were those investing heavily in automation, AI-driven inventory management, and flexible, modular warehouse designs. These companies were also leading the way in sustainability, with significant investments in green fleets and energy-efficient facilities—a response to both regulatory pressures and growing customer demand for eco-friendly logistics solutions.

The rise of e-commerce was another defining factor, with top performers focusing on rapid delivery capabilities and urban warehouse placements to reduce last-mile costs and meet consumer expectations for speed

Our findings highlighted the importance of omnichannel logistics, robust digital platforms, and real-time customer communication as differentiators in the market. We also mapped out geographic strengths, noting where competitors were expanding or retreating, and analyzed their approaches to pricing, partnership models, and value-added services.

Armed with this intelligence, our client was able to refine its sales and marketing messaging, prioritize investment in high-impact technology and sustainability initiatives, and tailor its customer experience to meet and exceed the evolving standards set by industry leaders. The competitor analysis not only clarified immediate threats and opportunities but also provided a strategic roadmap for long-term growth and market leadership in a logistics sector projected to see steady expansion and increasing complexity through 2030

When a client sought to understand the evolving landscape of global raw material supply, we engaged directly with 300 suppliers of raw materials worldwide. The goal was to uncover the real-world challenges these suppliers face and to clarify what they value most in their ideal clients—insights critical for anyone sourcing materials in today’s volatile market.

Industry Challenges in 2025:

Raw material suppliers described a landscape shaped by unprecedented complexity. Geopolitical tensions, such as ongoing trade wars and regional conflicts, have led to unpredictable tariffs, sanctions, and disrupted shipping routes, notably in areas like the Red Sea and Panama Canal.

These disruptions have driven up freight costs, extended delivery times, and forced suppliers to seek alternative logistics solutions. Material shortages remain acute, with supply often failing to keep pace with demand, especially in sectors like electronics, automotive, and construction. Environmental factors, including climate change and new sustainability regulations, are also impacting resource availability and transport routes

Labour shortages—particularly in manufacturing and transport—compound these issues, with an aging workforce and high turnover rates further straining operations.

Suppliers also highlighted the growing need to comply with evolving trade regulations and ESG (Environmental, Social, and Governance) standards, which can add complexity and cost but are increasingly non-negotiable for global clients

What Ideal Clients Look Like:

Suppliers consistently emphasised the importance of partnership, transparency, and adaptability. Their ideal clients are those who:

Communicate clearly and consistently, sharing accurate forecasts and responding quickly to changing circumstances.

Demonstrate flexibility in contracts and logistics, understanding that unforeseen disruptions may require rapid adjustments.

Value long-term relationships over short-term gains, working collaboratively to solve problems and share risk.

Prioritise sustainability and compliance, ensuring that sourcing practices align with global standards and local regulations

Invest in digital integration, making use of real-time data sharing, automated ordering, and transparent tracking to streamline supply chain operations

Strategic Insights for Sourcing Success

The insights from these 300 global suppliers have proved invaluable for clients navigating the raw materials market. By understanding the pressures suppliers face and the qualities they seek in a partner, businesses can position themselves as preferred customers—securing more reliable supply, better terms, and stronger, more resilient relationships. In a world where volatility is the new normal, these supplier perspectives are essential for building agile, future-proof supply chains