Report warns UK engineering is at a crossroads

The report demonstrates that the future of the British engineering sector hinges on how effectively we can address the growing skills shortages, invest in supercomputing facilities, integrate emerging technologies like AI and adapt to supply chain disruptions. In fact, it warns that the UK risks lagging behind international competitors if critical investments are delayed.

The insights provided also explain how engineering and manufacturing are changing in the UK, covering everything from skills shortages and supply chain issues to the latest tech advancements, like artificial intelligence.

Such insights have been built on contributions from industry leaders and top voices in UK engineering. Contributors include Scott Wilkins from City & Guilds, Simon Farnfield, event director at Advanced Engineering, and Dr. Mark-Paul Buckingham, managing director of Xi Engineering Consultants. ChatGPT-4 also contributed a section on AI’s future in engineering.

A major theme of the report is the urgent need to close the skills gap in UK engineering. With nearly half of engineering companies struggling to find skilled workers, the industry faces significant challenges in replacing a retiring workforce.

"While we’ve seen increased efforts to encourage young people into engineering, the availability of work placements remains a challenge,” argues Scott Wilkins from City & Guilds. “Engineering companies need support to create opportunities, whether through placement initiatives or by offering assessments in education facilities.”

What’s more, the report calls on policymakers to work closely with industry and educational institutions, recommending a flexible approach to apprenticeship funding and the establishment of grants that encourage businesses to support skills development.

Another focus of the report is the influential role of AI in UK engineering, with data accessibility and regulatory concerns remaining as barriers to widespread AI adoption. The report suggests that government collaboration with industry could facilitate the responsible sharing of data while ensuring regulatory frameworks address safety, transparency and ethical considerations.

With supply chain resilience becoming an increasing concern, the report also addresses the UK’s shift from a ‘Just in Time’ to a ‘Just in Case’ inventory model. In the wake of COVID-19, Brexit and geopolitical tensions, manufacturers face rising costs and unpredictable disruptions.

“Manufacturers are being forced to rethink inventory strategies as global uncertainties impact lead times and costs,” added Simon Farnfield, event director at Advanced Engineering. “The Labour Government’s plan to strengthen supply chains in critical sectors could provide much-needed stability, especially in areas like energy, construction, and medicine.”

The Labour Party’s proposed taskforce to assess and address supply chain vulnerabilities highlights the need for proactive strategies to anticipate disruptions and ensure reliable access to critical resources.

Finally, the report concludes with a call for renewed investment in the UK’s technology infrastructure. With advancements in high-power computing and digital manufacturing, there is a growing need to maintain cutting-edge capabilities.

However, recent decisions to withdraw funding from supercomputing projects have put the UK at a disadvantage in the global technology race.

“The UK risks falling behind without essential investments in technology and a skilled workforce to operate advanced systems,” explained Dr. Mark-Paul Buckingham of Xi Engineering. “We need strategic investment in STEM education and facilities to keep up with rapid technological change.”