02.11.2026
With 48,000 unfilled vacancies in UK manufacturing, businesses are already facing significant challenges recruiting the technical skills they need.
Our report, Manufacturing Priorities for the Temporary Shortage List, Earned Settlement, and the UK's Points-Based Immigration System, warns that increasingly restrictive immigration rules risk worsening skills shortages and undermining growth across the sector.
Make UK is calling on the Government to accept the Migration Advisory Committee's recommendations to include six advanced manufacturing occupations on the Temporary Shortage List, including:
- Engineering and electrical technicians
- Planning, process and production technicians
- Sheet metal workers and welding trades
- Metal machining setters and setter-operators
This would help allow manufacturers to recruit skilled workers from overseas while also developing the domestic workforce.
Engineering and manufacturing apprenticeship starts are 40% lower than a decade ago, and inadequate funding continues to restrict access to technical training.
Make UK is calling for:
- An increase in the maximum apprenticeship funding band from £27,000 to £35,000
- Additional revenue from the Immigration Skills Charge to fund training in shortage occupations
- Immigration policy to recognise that technical apprenticeships typically take three to four years to complete
Our report raises serious concerns about proposed changes to permanent settlement, which would increase the standard qualifying period from five to 10 years, rising to 15 years for workers recruited through the Temporary Shortage List.
These changes risk making the UK less attractive to international talent at a time when manufacturers are already struggling to fill critical vacancies. Longer settlement periods would also increase visa sponsorship costs for employers and create greater uncertainty for workers and their families, potentially driving skilled employees towards countries offering more accessible routes to permanent residency.
Manufacturers need access to skilled workers through international recruitment, alongside a stronger, more sustainable domestic skills pipeline. This report highlights how proposed immigration reforms risk undermining manufacturers’ ability to attract and retain the skilled workers they need to grow.
Read the full report below.