News 6 | Plant & Works Engineering www.pwemag.co.uk October/November 2026 The Government must put “some flesh on the bones of the buzzwords” if its ambitions for reindustrialisation and growth in every postcode are to succeed where levelling up and building back better fell short, according to manufacturers. Ahead of the Autumn Budget, Make UK has urged the Chancellor to focus on reducing the cost pressures holding manufacturers back from hiring, investing and growing, warning that ambitions for reindustrialisation will fail unless businesses are first given room to breathe. The organisation also stressed that the Government’s commitment to reindustrialisation must build on the certainty provided by the recently published Industrial Strategy. Manufacturers need long-term stability and confidence to invest, alongside practical measures that improve competitiveness today. The organisation is calling on the Government to: Address the UK‘s uncompetitive industrial energy costs by moving policy levies from electricity bills into general taxation. Reduce the cost of employing people by reversing the cut to the Employer National Insurance threshold and extending NIC reliefs to all workers under 25. Keep National Living Wage increases sustainable by limiting rises to 3.7% and delaying the extension of the National Living Wage to 18year-olds until the impact on youth employment can be properly assessed. Take a more proportionate approach to the Employment Rights Act, particularly around guaranteed hours and implementation timescales, to avoid making it harder for manufacturers to recruit. Introduce 100% transitional business rates relief for manufacturers in 2026/27, giving firms breathing space from recent increases in rates bills. The proposals are backed by Make UK‘s latest survey of manufacturers, which found that 47% believe cutting industrial energy costs should be the Government’s top manufacturing priority, followed by 37% who want lower Employers’ National Insurance costs, 32% who want employment rules made simpler and less costly for businesses and 31% who want business rates reduced. The research also highlights growing concern about employment regulation. Just 11% of manufacturers believe the Employment Rights Act should continue as planned, while 36% want the next stages paused and reviewed, 22% want the most burdensome measures reversed and a further 11% want implementation delayed to give businesses more time to prepare. While 56% of manufacturers say they feel positive about the Government’s ambition to reindustrialise the economy, they say success will ultimately be judged on outcomes. Asked what would show Government was delivering for manufacturing in a year’s time, 43% chose lower operating costs, 36% more competitive energy prices, 35% more manufacturers increasing investment in the UK and 29% more manufacturing jobs being created. Stephen Phipson CBE, Chief Executive of Make UK, commented: “Governments are good at promising economic resets but delivering them is much harder. If reindustrialisation and growth in every postcode are to succeed where levelling up and building back better didn’t, it’s time to put some flesh on the bones of the buzzwords. “The Autumn Budget is the first real test of the Government’s reindustrialisation agenda. The Chancellor needs to show, through action not words, what the Government’s promises actually mean. “For UK manufacturers, that means making decisions right now to ease the burdens they face. If the Government wants our members to stay afloat, the first step is to take some of the weight off their shoulders. “Manufacturers don’t need flashy new schemes and announcements. They need Government to remove the barriers that stop them from hiring, investing and growing.” Reindustrialisation must not become the next levelling up, manufacturers warn Chancellor visits MTC to outline growth ambitions The Manufacturing Technology Centre (MTC) recently welcomed John Healey MP, Chancellor of the Exchequer, to its Coventry headquarters, where he set out his vision for driving economic growth across the UK. Speaking from MTC’s new Robot Experience Centre, the Chancellor outlined plans to support growth through investment, innovation and skills development, alongside greater devolution, highlighting how removing obstacles in these areas will strengthen the UK’s economy. The Chancellor was joined by the West Midlands Mayor, Richard Parker, the Rt Hon Jonathan Reynolds, Secretary of State for Business, Innovation, Science and Trade, and the HM Treasury Ministerial Team. The visit provided an excellent opportunity to showcase the expertise, capabilities, and innovation that make MTC a national asset for advanced manufacturing. Equally important was the focus on skills and talent. The Chancellor spent time speaking with apprentices based at MTC Training’s centre at Ansty Park and touring our state-of-the-art training facilities. Opening his speech, John Healey, Chancellor of the Exchequer, said: “The MTC is an organisation at the very heart of Advanced Manufacturing – and advanced manufacturing is one of our eight Industrial Strategy growth sectors as a government… [MTC] was established to unlock the potential of the UK industry, with practical, leading edge manufacturing with innovation. What better place therefore, for me to speak with you about this government’s determination, our determination for growth, our belief for Britain’s future.” In his speech, the Chancellor went on to emphasise the partnership between government, business and academia and the importance of investment, innovation and skills as drivers of
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