The United Kingdom government’s Advanced Manufacturing Sector Plan sets an ambition for the country to be recognised as the best place to start, grow and invest in advanced manufacturing by 2035. The plan outlines four strands of action designed to increase annual business investment in advanced manufacturing across the United Kingdom from around £21 billion currently to £39 billion by 2035. Policymakers are prioritising six sub-sectors that researchers say have the greatest growth potential over the next ten years, including advanced materials, aerospace, agri-tech, automotive, batteries and space, reflecting a wider push to strengthen high value industry.
Advanced manufacturing is already a major contributor to the United Kingdom economy, directly supporting an estimated 760,000 jobs and delivering over £82 billion gross value added every year, while productivity in the sector has increased by 202% between 1997 and 2024. Artificial intelligence is seen as a key driver of the next phase of growth by boosting adaptability, efficiency and precision on factory floors. The United Kingdom’s artificial intelligence sector attracted £2.9 billion of investment in British artificial intelligence companies in 2024, and a £31 billion “Tech Prosperity Deal” between several United States technology firms and the United Kingdom government has reinforced expectations that the country will be an artificial intelligence superpower. Despite this momentum, a 2024 Make UK report cited in the plan found that only eight per cent of United Kingdom manufacturers had successfully implemented artificial intelligence and machine learning in their operations, and just seven per cent felt well versed in artificial intelligence applications, prompting the launch of an Artificial Intelligence Opportunities Action Plan and dedicated Artificial Intelligence Growth Zones.
SMEs adopting artificial intelligence and robotics are expected to require more expandable facilities such as data centres and specialist production environments, which is increasing interest in modular buildings as a fast, flexible solution. Providers such as Portakabin argue that modular construction can deliver high-specification facilities up to 70% faster than traditional builds, while allowing businesses to expand, reconfigure or relocate as needs change. Modular units are already being used to support data centre development with site accommodation, welfare facilities, office space and canteens, and can serve as temporary or permanent space for all six of the plan’s priority sub-sectors during renovations and expansions. Alongside this, a new Robotics and Autonomous Systems programme will create Robotics Adoption Hubs to help SMEs access equipment, expertise and connections, with the National Robotarium highlighting that the United Kingdom currently ranks 24th globally for robots per manufacturing worker and that Germany alone installed eight times more robots than the entire United Kingdom in 2023, in a global robotics market projected to reach £218 billion by 2030. With policy support growing and infrastructure plans advancing, smaller manufacturers are being encouraged to upgrade processes and facilities now to position themselves for the anticipated manufacturing boom.
