The Telegraph Reports that;
As many as 200,000 manufacturing jobs will return to the UK over the next decade, cutting the trade deficit by a third, as outsourcing becomes increasingly “unattractive”, according to new research.
More manufacturing jobs could be coming back to the UK, the RSA claims Photo: Bloomberg News
Advances in production technologies, as well as rising costs and regulations abroad, will “fundamentally change” the economics of manufacturing, a study by the Royal Society for the encouragement of Arts, Manufactures and Commerce (RSA) found.
About 2.5m people are employed in the manufacturing sector, which accounts for 10.5pc of national economic output.
Localisation of production would also help lower Britain’s persistent trade deficit, as UK-made goods would replace imported ones. “This could reduce the UK’s trade deficit by a third,” the RSA said. “Based on 2011 trade figures this would amount to an expansion of approximately £30bn in domestic production paralleled by a similar change in the trade deficit.”