In the old industries, animals or humans were used to power machines.

In the old industries a 'domestic system' was used, where goods that were made of textiles were made in peoples homes. This all changed and inventions happened, which resulted in no longer a need for the 'domestic system'. Textile goods could be made at a much quicker rate as a result of such inventions as the 'spinning Jenny' or spinning machine, invented by James Hargreaves, in 1770. Other water-powered machines such as the 'water frame', also invented in 1770, led to mass production of cotton, which then resulted in cotton factories being built. These were common in the midlands as they had fast flowing water, perfect for many of the new inventions.

There was another advance in 1785, when David Dale invented a steam powered cotton spinning machine, meaning that cotton factories no longer had to near fast flowing rivers.

Improvement in spinning led to changes in the other processes of cotton manufacture, for example in carding, printing, bleaching and dyeing.

Advances in technology led to the use of new machinery, greatly improving the efficiency of the cotton industry. The cotton industry was quicker than the woollen industry to use these new methods. By the late 19th Century, cotton had become Britain's biggest most important manufacture and had replaced woollen cloth as the most valuable export.

Modernisation and the Industrial Revolution occurred partly because of the rapid population increase, which was a good source of labour.