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EU membership will create 9,000 more Scottish manufacturing jobs

Community
Community
1st June 2016

A new report by the Centre for Economics and Business Research (CEBR) today [Wednesday] shows that over 100,000 UK manufacturing jobs will be created by the EU’s single market, and would be at risk if we left – including over 9,000 in Scotland. At present, 72,680 Scottish manufacturing jobs are linked to trade with the European Union.

This comes as, for the first time ever, the heads of three of the biggest manufacturing companies – Siemens, Airbus and GKN – will share a platform and say that investment and jobs would be at risk if the UK leaves Europe. They are joined by over 100 members of the EEF, the Manufacturers’ Organisation, who say that leaving Europe mean UK firms would ‘certainly lose jobs’ and would cause ‘years of uncertainty’.

Commenting, John Park – Assistant General Secretary of the Community trade union, and member of the Scotland Stronger In Europe advisory group – said:

“Scotland’s manufacturing sector relies on having full access to the EU’s single market – our home market of 500 million people. There is no option other than being in the EU that guarantees equal access to that market, which is why a Remain vote is the positive choice for jobs and investment.

“Leaving Europe’s single market would lead to more barriers to trade which could only be bad news for industry. It’s clear that staying in Europe is the best way to secure long-term investment and create skilled jobs in Scotland.’

New report on UK manufacturing jobs

  •  CEBR shows that there are almost 950,000 UK manufacturing jobs linked to EU trade, with tens of thousands in each area of the UK.
  •  In Scotland, there are 72,680 manufacturing jobs linked to trade with the EU. Of all sectors, manufacturing had most jobs liked to EU trade.
  •  The CEBR also shows that 107,390 manufacturing jobs will be created across the UK due to the deepening of the single market, by 2030.
  • 9,100 manufacturing jobs will be created in Scotland.

For a regional and sectoral breakdown of future UK employment due to the EU’s single market, see the CEBR’s ‘UK employment and the UK’s membership of the Single Market’, May 2016

 

Background: how the EU single market benefits UK manufacturers

 

–        Goods manufactured in the UK can be sold across the EU on the same terms as domestically. This drastically increases the size of the market UK manufacturers have access to, boosting the sector and creating more jobs and growth.

–        200,000 UK businesses trade goods with the EU.[i] The EU accounts for 44% of the UK’s Exports, worth £229bn in 2014.[ii] The UK exports almost £150bn in goods to the EU.[iii]

–        The EU single market also eliminates non-tariff barriers for UK exports, making selling British goods across the EU even cheaper.

–        As the EU develops the single market further, independent analysis shows it could bring a further 790,000 jobs and £60bn to the UK economy by 2030.[iv]

 

[i] ONS Pink Book 2015.

[ii] ONS Pink Book 2015.

[iii] https://www.eef.org.uk/resources-and-knowledge/research-and-intelligence/industry-reports/manufacturing-our-future-in-europe-report

[iv] http://www.cebr.com/reports/britain-stronger-in-europe/