There are a number of reasons why Germany does better than the UK on manufacturing:
1) High cost of employment created a drive towards automation
2) Structural differences in the way businesses are funded
3) A very different attitude to outsourcing in the 90’s
In the UK and some of our most successful manufacturing firms remain family owned (JCB for example) and not beholden to the short term profit drive of the stock market.
If we want manufacturing jobs returned to the UK, we have to create an environment that stimulates investment. Successive governments (of both colours) have ignored manufacturing in a dash to support the financial services sector.
We also need to think about the education system so that non-academic students are enthused to take up craft apprenticeships.
