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September 2021 - Engineering

Scottish Engineering survey reveals challenges for the sector: A survey by Scottish Engineering has revealed insight into the challenges facing the sector despite the ending of lockdown measures, with Brexit cited as a factor causing skills shortages.

The survey found that while the engineering sector in Scotland has experienced a third consecutive quarter of sustained growth in terms of orders, outputs, exports and workers, companies have reported problems with skills shortages, material prices, availability and logistics.

The research revealed that a net 27% of participants to the survey recorded a rise in UK orders for the last quarter, while 15% reported an increase in export orders. Feelings of optimism have risen amongst engineering firms according to the findings, with a fifth (21%) saying they have seen a growth in optimism.

When it comes to output volumes, a balance of 19% reported a rise for the last quarter, with a net 20% saying they have seen an increase in staffing. Around one in six companies polled said they have seen an increase in investment in the last quarter (17%).

Looking to the future, more than a third of companies polled (36%) said they expect to see an increase in both domestic and export orders over the next quarter, while 37% predict an increase in output volume over the coming three months.

"The forecasts that we viewed three months ago with caution have held up well, and the outlook for the next quarter looks to hold that gain and, whilst it’s not yet positive for all, improvement seems to be on its way across the board, ” said Scottish Engineering upon publishing its latest research findings.

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