Rising costs and economic uncertainty haven’t gone away, yet nearly two-thirds of manufacturers believe the opportunities in 2026 outweigh the risks.
Rapid digitisation and shifting global dynamics are creating a pivotal moment for manufacturing. We’re seeing manufacturers invest in new products and services, embed AI and automation, and crucially, take a more customer-centric approach, with marketing and customer engagement rising up the agenda.
Cost pressures - employment, technology, and energy - continue to mount and demand strategic responses. How can manufacturing leaders deliver on their ambitions to drive growth?
What are the priorities for manufacturers in 2026
Investing in tech and AI
Technology costs are increasing, both because of underlying costs going up and, more positively, due to deliberate investment in digital, AI and automation. Manufacturers that prioritise tech adoption will boost productivity and competitiveness and in doing so, drive long-term growth.
When it comes to AI and automation, 60% say that skills are the major barrier to adoption, highlighting the need to invest in people to keep pace with automation and digitalisation.
Source: Make UK and PwC UK Executive Survey 2026
Customer-first strategies for growth
With marketing and customer engagement moving up the agenda, manufacturers are putting the customer at the heart of their strategies for growth. Over half (55%) say that expanding products and services in response to customer needs is their biggest opportunity in 2026. A similar proportion say their customers' demands for faster delivery and responsiveness are increasing.
The benefits of a customer-focused strategy are clear. By combining market insight, engineering expertise, and technology, manufacturers can design, personalise, and market new products that meet evolving customer needs. It’s a shift from “selling what you make” to “making what you can sell”.
Source: Make UK and PwC UK Executive Survey 2026
Turning Industrial Strategy into impact
Businesses report that the Industrial Strategy and sector plans will have a positive impact on the manufacturing sector and increase investment. It’s a strong starting point.
There’s still significant work needed to strengthen the UK’s reputation and competitiveness and to address structural obstacles to growth such as energy costs, skills gaps and access to finance.
Source: Make UK and PwC UK Executive Survey 2026
New sectors, new markets
Just over half (51%) of manufacturers are considering new sectors. With sector boundaries shifting, there is significant opportunity for manufacturers to explore how they can create value by moving and expanding into new markets and into new sectors.
Skills in areas like engineering are increasingly sought after particularly across sectors including defence and energy infrastructure supply chains. These markets offer real opportunities for manufacturers to apply their expertise in new ways, broaden revenue streams, and build greater resilience against fluctuations in domestic demand.
Source: Make UK and PwC UK Executive Survey 2026
“The UK's manufacturers are ambitious in their mission to drive growth. Those shifting their focus to product innovation, embracing technology, and investing in marketing will be the winners in the battle for growth.”
Cara Haffey
Leader of Industrials and Services, PwC UK
Contact us
UK Leader of Industry for Industrials & Services & Manufacturing Sector Leader, PwC United Kingdom
Tel: +44 (0)7809 551517
