NTG Precision Engineering has announced plans to increase its manufacturing capabilities with a move to a new facility in Gateshead. The company will move to the new site, close to its existing factory in Team Valley, in the summer, generating additional capacity for the precision engineering and assembly of components used in severe duty and high-integrity applications.

At 45,000sft², NTG’s new base will be three-times larger than its current facility where the company manufactures components for a variety of industries, including power generation, food production, offshore energy, defence and electric vehicles (EVs).

The new factory, which is being developed by UK Land Estates, also reflects NTG’s commitment to sustainability and will be part-powered by Solar PV and include EV charging points and air source heat. The site forms part of a pipeline of speculative industrial sites that UK Land Estates is developing in response to increasing demand from commercial property occupiers.

The expansion of its business will enable NTG to increase its presence in its key markets, most notably the defence industry and the production of components for the manufacture of EV batteries and EV power trains.

Currently employing 60 people, of which 10 are apprentices, the move is expected to lead to the creation of further jobs as the business grows its order book. This expansion is part of NTG’s scale-up strategy, which began with a management buy-out (MBO) at the start of 2021 and included a significant investment from Ignite Growth.

Building on more than 40 years of engineering heritage, which led to the business becoming an established part of the North East industrial supply chain while gaining traction in national markets, the MBO sparked a £3.5 million programme of capital investments in specialist precision engineering equipment and paved the way for the relocation to the new premises.

Mike Hutchinson, NTG Precision Engineering managing director, said: “We are always looking to invest ahead of the curve, and our new facility will provide the capacity to grow the business and our ability to serve existing and emerging markets.

“We have maximised every square metre of our existing facility to house the latest in precision CNC capabilities and a very talented, experienced workforce. Moving to new premises will give us the space we need for the next stage of our growth and scale our operations to serve an expanding customer base.”

He added: “Working alongside Ignite Growth, we have a clear vision for the business and have ambitions to contribute to the consolidation of the precision engineering sector, be that through organic growth that we will achieve through our new factory, or via potential acquisitions.”

Tim Witty, UK Land Estates development director, said: “We have always enjoyed working with NTG as it is an ambitious and growing business on Tyneside. The highly skilled manufacturer first took premises on Team Valley in 1979 so it is a pleasure for us to still be working with NTG on the next phase of its growth.

“At UK Land Estates, we strive to work closely with our tenants to help tailor make units to suit their business needs and to help them expand.”