Advanced manufacturing

The advanced manufacturing sector has been recognised as one of eight growth-driving sectors in the UK’s Modern Industrial Strategy, signalling strong government support and potential for growth. Directly supporting 760,000 jobs and contributing over £82 billion of gross value added (GVA) every year, advanced manufacturing is a central part of the UK economy. As a leader in advanced manufacturing industries and technologies, the UK is ideally positioned to harness the opportunities the sector has to offer. Our globally-recognised manufacturers, innovative small and medium-sized enterprises (SMEs) and cutting-edge research and development (R&D) landscape, coupled with an expert talent pool, offer investors unparalleled growth potential.

Opportunity highlights

Make the most of the investment opportunities in the UK advanced manufacturing sector across six key areas.

Advanced materials

Powering breakthroughs across advanced manufacturing, energy, digital technologies, defence and life sciences, the UK’s £86.3 billion advanced materials sector is the foundation of next-generation manufacturing. Tap into world-leading R&D, rising global demand and strong government backing and help shape the future of sustainable innovation.

Agritech

The UK is at the forefront of agritech, combining cutting-edge robotics, automation and data-driven farming. Companies can access a prime opportunity to invest in technologies that will transform productivity and sustainability in agriculture worldwide.

Automotive

The UK’s £83.4 billion automotive sector is accelerating the shift to net zero and autonomous mobility. Capitalise on world-leading engineering expertise, AI and major government investment, and help define the future of global transportation.

Aerospace

Worth £34 billion and powered by a 250,000-strong workforce, the UK aerospace sector is reshaping global aviation with breakthroughs in zero-emission propulsion, advanced manufacturing and sustainable fuels. Investors choosing the UK can access a direct route into the future of aerospace.

Batteries

With demand set to nearly double by 2040, the UK’s battery industry is scaling fast, thanks to its major hubs, gigafactories and world-class R&D. Backed by £452 million in government investment, it offers investors a powerful opportunity to drive innovation and secure supply chains while leading the global shift to electrification.

Space

Get a fast-track route from concept to commercialisation. From launch and in-orbit services to satellite data and secure communications, the UK is positioned to lead the global space economy. With significant public and private investment, dedicated spaceports, and a collaborative ecosystem of startups, academia, and industry leaders, it offers a launchpad for scalable growth and international partnerships.

Commercial maturity

UK advanced manufacturing is on a sharp growth path, with annual GVA set to grow 37% by 2035. Physical goods make up 42% of all UK exports, with automotive alone responsible for £43 billion, making for a large and resilient export market. Backed by the Modern Industrial Strategy, the sector is targeting a near-doubling of annual business investment by 2035, from £21 billion to £39 billion, unlocking new capacity and competitiveness.

Key UK assets

With thriving clusters in every region, the UK delivers unique capabilities and investment-ready opportunities.

Edinburgh, Glasgow and Central Scotland

A powerhouse for advanced materials, aerospace and space. Facilities like the Prestwick Aerospace Cluster, Scotland’s Advanced Manufacturing Innovation District, the National Robotarium and the Roslin Institute offer access to pioneering research, top-tier talent and investment-ready infrastructure.

North East England

Driving the UK’s electric vehicle (EV) and battery supply chains, led by Nissan Sunderland and major gigafactory projects like the new AESC gigafactory. NETPark and Northumbria’s Space Skills & Technology Centre connect investors to global market opportunities.

Belfast City Region

Northern Ireland is a dynamic industrial hub for aerospace, automotive and advanced materials. Queen’s University’s upcoming Advanced Manufacturing Innovation District and a high-performing SME supply chain give investors direct access to high-growth markets.

East Midlands of England

Thriving with engineering expertise and innovation, from Rolls-Royce jet engines to precision agri-tech, the East Midlands region offers profitable opportunities. With Toyota, the East Midlands Freeport and shared Midlands assets like HORIBA MIRA, investors can scale technologies and reach global markets

South West England

A leader in advanced materials, aerospace and batteries, the region pairs the National Composites Centre with industrial giants like Airbus and Leonardo. The Agratas Gigafactory and Gloucestershire’s agri-tech institutions make it fertile ground for investment.

Oxford to Cambridge Growth Corridor

Where academic excellence meets industrial strength, the corridor drives breakthroughs in aerospace, agri-tech, advanced materials and space. From BMW Mini and Lockheed Martin to graphene and battery innovators, investors gain a direct line to transformative, high-value opportunities.

Research and development (R&D) capability

The UK’s advanced manufacturing sector is powered by world-class research initiatives with substantial government support. Funding includes £2.8 billion in R&D programmes, and around £395 million for the Henry Royce Institute to 2027. The institute partners with companies like BP and BAE Systems to enhance advanced materials research. Facilities like the Advanced Manufacturing Research Centre (AMRC) in Sheffield, the National Robotarium and UK Battery Industrialisation Centre offer investors direct access to next-generation technologies, rapid prototyping, and scale-up capabilities.

Programmes and initiatives like the Faraday Institution, High Value Manufacturing Catapult and the Farming Innovation Programme accelerate commercialisation, reduce risk and shorten time to market. This ecosystem provides investors with technology and networks that turn innovation into business growth.

Business and government support

Support packages, like the £452 million Battery Innovation Programme, and expanded finance, including £27.8 billion via the National Wealth Fund and £25.6 billion via the British Business Bank, make scaling and commercialising easier. At the same time, streamlined planning, industrial energy support and modern regulatory frameworks are reducing barriers to investment.

Talent

Over 2.6 million people work in the sector across the UK, with a strong future pipeline supported by 1.3 million science, technology, engineering and mathematics students. The National Manufacturing Skills Taskforce is driving a united approach to equip tomorrow’s workforce with skills, while the new body Skills England will work to identify and address talent gaps. Industry-led centres such as the High Value Manufacturing Catapult provide specialist training and real-world experience, ensuring investors can access a workforce ready to deliver innovation at scale.

Expand your business in the UK

Get practical guidance and insights to help you successfully set up in the UK.