Sector Overview

The metals and engineered metal products sector covers the following activities:

production, processing and distribution of ferrous and non-ferrous metals
production and casting of forgings
fabrication
recycling of materials at the end of their useful life

The metals and engineered metal products sector

Key Facts

Metals play a key role in many sectors of the economy.
The metals sector directly employs around 450,000 people in more than 30,000 companies across the UK.
The sector is around twice the size of the UK’s automotive sector.
90% of the workforce is employed in companies with fewer than 250 people.
With an annual turnover of £38 billion, the sector contributes £15 billion of extra value to the UK economy – equivalent to 10% of all UK manufacturing.
Strong supply chain links operate between metals sub-sectors.

Future Outlook

Metals production is a worldwide growth sector and is predicted to increase by

1-1.5% per annum over the next 20 years.

Ability to add value and eliminate waste are major challenges that face the sector into the future.

Sector employers have identified innovation and technology transfer as key strategic drivers that will affect their future success.

To progress into the future, the sector needs a culture change at all levels. This means embracing process improvement techniques and lean manufacturing principles and encouraging employees to have a greater say in how jobs are done.

People and skills

To lead that change at the technical level the sector needs high-quality engineers. Better management and leadership skills are also needed at a strategic and operational level.

To meet the challenges of new technology employers need to boost their skills levels and there is a greater need for people able to work flexibly. This means both retraining the existing workforce in transferable skills and taking on new recruits to train up.

Employers have said that they need high-quality new people coming into the sector. They are looking for good school and college leavers to train through apprenticeships and other recognised training schemes.

Good quality metallurgists and engineers are in short supply but are critical to the sector.