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VIEW FROM WESTMINSTER “It has been a collaborative process of agreeing those areas where Government has a role to play in assisting business” How Government and industry are uniting to support UK aerospace, by Michael Fallon MP, Minister of Business and Energy. The civil aerospace sector offers huge growth opportunities, but our continued success as a leading aerospace nation cannot be taken for granted. A couple of years ago, we established the Aerospace Growth Partnership – the AGP – to provide a genuine partnership between business and government that could remove barriers to growth, boost exports and grow the number of highvalue jobs in the UK. The AGP has transformed the way in which Government now works with the UK aerospace industry. It’s certainly not been about industry laying down a list of demands to Government; nor has it been about Government trying to dictate to industry what it should be doing. Rather, it has been a collaborative process of us seeing what industry needs to do to increase its competitiveness and agreeing where Government has a role to play. We promised at Farnborough 2012 to return as soon as possible with a full Aerospace Strategy. Following a lot of hard work in the AGP working groups over the succeeding months we published the Aerospace Industrial Strategy ‘Lifting Off’ in March. Lifting Off sets out an ambitious programme to keep the UK firmly at the forefront of world aerospace manufacturing and ensure that we can address the challenges of increasing global competition and changes in Michael Fallon and the MAA’s Andrew Mair at the Berlin airshow. “We’ve agreed to give industry the long-term certainty it needs to ensure that the UK remains one of the world’s most attractive locations for aerospace manufacturing.” technology. It’s based on ensuring that the UK has the capabilities to be at the leading edge of the design, development and production of wings, engines, aerostructures and advanced systems. These are the highvalue, technologically sophisticated parts of the aircraft where the UK can maintain a sustainable competitive advantage. We listened carefully to what industry said about the difficulties the short-term nature of public R&D support caused for strategic planning on projects; also the problems of not knowing how much public funding might be available to support private investment. So, we’ve agreed to give industry the long-term certainty it needs to ensure that the UK remains one of the world’s most attractive locations for aerospace manufacturing. The AGP recognises that the larger companies acting alone will not be able to make the product technology advances required to sustain the UK’s global market position. A step change towards an “R&D supply chain” is required. Yet the market is not currently creating this with sufficient urgency. To counter this, the AGP believes that industry and Government can work together to foster the development of new technologies, while the larger companies provide expertise and mentoring to encourage innovation from within the supply chain, especially SMEs. This is why Government is willing to invest in the AGP’s National Aerospace Technology Exploitation Programme. NATEP builds on the excellent regional technology exploitation programme previously run by the Midlands Aerospace Alliance in the Midlands, and the success of those projects promises much for the prospects of the 100 new technologies NATEP will bring closer to market. I look forward to seeing suppliers taking this opportunity to innovate and willl monitor the progress of the programme closely through the Aerospace Growth Partnership. www.michaelfallon.org.uk 12 MIDLANDS AEROSPACE
statistics THE FIGURES THAT COUNT MIDLANDS AEROSPACE IN NUMB3R5 In this issue we shine our statistical light on the big picture of Midlands aerospace. And the cluster boasts some impressive numbers. Not only sheer size but also rapid growth. The MAA estimates that 3% of the whole world’s aerospace industry is located in our region. What lies behind the current boom is our focus on civil aircraft more than defence, a bias that is growing year by year. The numbers do throw up some surprises. Half the companies in the industry don’t make aircraft parts. And did you know the Midlands is home to six aerospace engine makers – partly linked to our automotive heritage? As well as Rolls-Royce, they are Cosworth, Cubewano, Ilmor Engineering, UAV Engines Ltd (all making UAV engines), and Roxel (rocket motors). Less surprising is the sheer influence of the Rolls-Royce powerhouse. It tops the list of the five biggest customers for Midlands suppliers (measured by number of companies with these customer approvals), followed by BAE Systems, AgustaWestland, Airbus and UTC Aerospace Systems / Aero Engine Controls. 75% OF MIDLANDS AEROSPACE SALES TO CIVIL MARKETS (50% FOR UK AS A WHOLE) 3% OF THE WORLD’S AEROSPACE INDUSTRY IS IN THE MIDLANDS 45,000 full-time equivalent jobs in the Midlands aerospace industry including supply chain 168 MIDLANDS AEROSPACE FIRMS SIGNED UP TO SC21 SUPPLY CHAIN IMPROVEMENT 52% OF COMPANIES IN THE MIDLANDS AEROSPACE INDUSTRY MAKE FLYING PARTS MIDLANDS AEROSPACE BUSINESS TURNOVER GROWTH IN REAL TERMS 213%SINCE 2005 6 1/4 aircraft engine makers in the Midlands OF THE REGION’S AEROSPACE EM- PLOYEES WORK AT ROLLS-ROYCE MIDLANDS AEROSPACE 13
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Page 7 and 8: Meet our Paris exhibitors at Stand
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Aerospace

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