Welcome to Forbes’ quarterly Manufacturing & Engineering Sector eNews. 

Whilst freedom day may have been delayed, we see no stalling amongst the activities of our Manufacturing & Engineering sector clients in what appears to be a sector going from strength to strength.  That being said, different challenges are currently facing manufacturing businesses with the spiralling costs of raw materials being a common theme and the need for flexible and reliable suppliers being as important as ever.  Furthermore, the fall out and challenges from Brexit do not seem to be going away any time soon.

Across the past few months, amongst other things we’ve assisted businesses with:

• the negotiation of fixed-cost supply agreements, enabling them to predict cash-flow and maintain pricing structures downstream, whilst guaranteeing suppliers minimum quantities upstream;
• restructuring their businesses to create subsidiaries or some alternative form of presence in the EU; and
• outsourcing of manufacturing activities through the granting of intellectual property licences.

The varied and unpredictable nature of demands on and challenges facing business at present appears to the biggest challenge of all with the innovation and diversification of the past 15 months standing many in good stead. 

If you require any support and guidance at this time, then please don’t hesitate to get in touch.

All the best,

John Pickervance
Partner, Head of Commercial
T: 07976 257777
E: John.pickervance@forbessolicitors.co.uk

Manufacturing - a working world

Several senior leaders in the manufacturing industry have noted modest or even significant growth throughout the global pandemic. Due to the nature of the market, the unprecedented supply of manufactured products has accelerated an increase in demand for products and economic growth, as a result, we have seen a demand for higher-skilled employees. The commercial reality is that coronavirus challenged business owners innovate changes in technology prompting a change in company skills and labour.

North West businesses: returning to normality

The UK manufacturing sector has had a very mixed response to the Covid-19 pandemic, with some businesses struggling, and others thriving, either due to being in key sector supply chains or by being able to pivot to adapt to the "new normal". As we start to near the beginning of the end of this difficult 18-month period, thoughts are turning to the future, and what that new landscape will look like for this key North West industry sector.

Rising Cost in Raw Materials Prices from Suppliers - Strategies to Address?

The UK is facing unprecedented increases in the cost of key raw materials, which has been felt across several businesses. Not to mention the already existing pressures caused by Covid-19 and Brexit, this is yet another issue manufacturing companies are facing across the UK, resulting in disruption.

Speaking with clients, we're finding that the purchase of raw materials and components is the primary concern for most product manufacturers, reflecting global supply issues for items including steel, timber, PVC, and chemicals.

Can manufacturers who occupy their property as tenants rely on Covid-19 for rent arrears?

It is beyond doubt that Covid-19 has caused considerable financial challenges for commercial tenants, many of whom have had to endure either their business not being able to run as effectively, or not run at all.

Financial Support for Manufacturers and Avoiding Insolvency

In response to COVID-19, the Government introduced a number of support packages in order to ease the financial burden on businesses. Now that Government restrictions are easing, life is beginning to return to some semblance of normality, however, businesses may struggle in getting back on track as the Government begins to pull their support.

Upcoming event 

Right to work checks for EU nationals and business travel

The deadline for EU nationals who came to the UK by 31 December 2020 to apply under the EU settlement and continue residing in the UK was 30 June 2021 meaning there will now be significant changes to right to work check requirements for those who employ EU citizens.

With the restrictions on travel now easing post Covid, it is vital that businesses who operate internationally understand the requirements for business travel both to and from the EU.

Join us for this interactive webinar where, Amy Stokes (Employment Partner and Business Immigration Specialist) and Marianne Hessey (Employment Solicitor and Business Immigration Specialist), will share their knowledge and experience of the impact of Brexit and the new immigration system for those who employ non-UK nationals.

To book your free place, please click here.

As of 1 March we will centralising our post systems

Our new PO Box number is 686, Blackburn BB2 9QY

and our DX is 17952, Blackburn 1

Please only use these numbers going forward.