The report found that 84% of British manufacturers plan to nearshore or localise at least half of their supply chain. This push to nearshore is being driven by a number of factors, including having to manage an increasingly complex web of suppliers that goes multiple levels deep. With changing regulations driving uncertainty across the market, 64% of UK manufacturers say they are under more pressure than a year ago to understand their wider supplier network.

Despite this urgency, only 47% of UK manufacturers currently use their own data to make informed business decisions – highlighting a disconnect between strategic intent and operational capability.

“To localise supply chains is a strategic response to global volatility, but without the right data, it’s a risky one”, said Bjorn Gerster, European Lead at the Centre of Excellence Manufacturing, Dun & Bradstreet. “Manufacturers need to see beyond their tier-one suppliers and understand the full picture – and that starts with having structured, connected data that gives visibility across every tier of the supply chain.”

The report reveals that manufacturers are struggling to understand their supply chains on a deeper level due to:

• A lack of time or resources (42%)

• A lack of data or information (41%)

• Concerns about workload (40%)

Failing to understand their supply chains is a huge issue for the UK’s manufacturing sector, with limited oversight causing:

• 41% of businesses to report quality control issues

• 38% facing delivery delays

• 35% having to increase operational costs

Adding to the strain, 27% of UK leaders cite dependency on single or limited suppliers as a recurring problem, while another 27% point to data integration and system compatibility issues as a frequent supplier challenge.

Regulatory changes, particularly around tariffs and sanctions, have become a persistent and long-term challenge for the manufacturing sector globally, and the data shows this is equally true of UK manufacturers. :

• 42% of UK manufacturers cited “regulatory changes, i.e. tariffs and sanctions” as a major supply chain challenge in the last 12 months (vs 34% globally)

• 33% of UK manufacturers believe these regulatory changes will be among their biggest risks in 2026 (vs 31% globally)

• 21% of UK manufacturers identified regulatory changes as the “most difficult to solve” among their supply chain challenges (vs 17% globally)

“The manufacturing sector is absolutely vital to the economy and the UK’s future growth prospects,” says Gerster. “In the last five years, we’ve seen a massive shift in the supply chain – it’s no longer about chasing the lowest cost, but about building resilience and responsibility. Data is the key to this whole transition. The manufacturers who use data effectively – to monitor supplier performance, anticipate disruptions, and ensure compliance, identify new suppliers, and uncover high-potential customer markets – have a superpower that will let them thrive, while others will find themselves seriously struggling.”