South West bucks UK manufacturing decline as aerospace and defence firms report 'strong' start to 2025

Aerospace and defence firms in the West of England are experiencing "very strong demand" for business, bucking a wider UK decline in manufacturing, according to a new report.

Manufacturers across the region have reported a strong start to the year, the survey by national manufacturing body Make UK and business advisory firm BDO found.

Both output (+32%) and orders (+39%) were positive, with the forecast set to improve further in the next quarter. As a result, companies are looking to hire more staff with recruitment intentions increasing from +5% to +21% over Q2, the report said.

Capital expenditure plans are also significantly ahead of the national picture at +32%, while the South West's renewable energies sector is also seeing strong demand.