A partner at a Kendal-based accountancy firm has said that political and economic certainty could be the catalyst for sustainable long-term growth.
Ginni Cooper, partner at MHA, said stability could be the "catalyst for sustainable long-term growth in the region’s manufacturing sector."
Her comments come as the S&P Global UK Manufacturing Purchasing Managers’ Index (PMI) for June 2026 was published, recording a score of 52.2.
April and May saw scores of 53.7 and 53.9 respectively, with any result above 50 indicating growth.
Ms Cooper said: "The prime minister’s commitment of an extra £15bn spending for the defence sector yesterday will be good news for those who supply into defence, although it often takes time for increases in government spending to make their way through the supply chain.
"However, the difficulty for the sector at the moment is it isn’t effectively able to plan forward."
She added: "It’s likely we will also have another new prime minister in the coming weeks, which could lead to further policy changes.
"The risk is that the uncertainty causes businesses to pause investment decisions while they wait for the next budget or further policy announcements.
"It’s better for the industry to know what changes are likely to happen, even if these are not positive for manufacturers – as this allows them to prepare."
MHA’s latest Manufacturing Report shows that confidence is particularly strong in the North West.
Nine out of 10 respondents expect growth above three per cent in the next year—up from 76 per cent in 2025 and above the national average.
Ms Cooper also talked about new Makerfield MP Andy Burnham, who is expected to become the Labour party’s next leader this month, and announced earlier this week intentions to accelerate devolution across the UK.
She said: "There could be real positives for manufacturers in increased devolution, especially if it allows areas of the North West to shape skills provision around local industrial strengths.
"We have already seen benefits from devolution in areas such as Greater Manchester.
"However, we need to understand what any further changes mean in practice, so local decision-makers and industry leaders can plan and invest with confidence."
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