• Swindon & Wiltshire Economy
• Tuesday December 9 2025

South West business activity growth hit three-month high in November

A stronger rise in business activity has been reported across the South West as sales continued to increase and confidence improved.

However, sharply rising costs and signs of excess capacity led to a further reduction in staffing levels, according to the latest NatWest Growth Tracker.

The headline South West Business Activity Index – which measures changes in the region’s output of goods and services – increased from 51.9 in October to 52.5 in November, to signal a solid rise in activity levels that was the quickest since August.

Companies in the South West often mentioned that successful marketing efforts and firmer underlying demand conditions had lifted activity in November.

Private sector firms operating in the South West registered a back-to-back rise in overall new work during November.

New business has now increased in three of the past four months. New client wins, successful marketing campaigns and the retention of established customers helped to lift new orders, according to panellists.

“Companies across the South West had a strong performance in November, according to the latest Growth Tracker data,” said Faye Long, chair of the NatWest South West Regional Board.

“Business activity rose at the fastest pace in three months, while demand conditions continued to improve as firms reaped the benefits of successful marketing strategies and greater customer numbers.

“Optimism around the one-year outlook for output also brightened in November, with sentiment the highest seen in over a year amid forecasts of stronger market conditions and further increases in customer spending.

“However, firms maintained a cautious approach to staff numbers, which fell at a quicker pace in November.

“The reduction in head counts occurred against a backdrop of sharply rising costs and signs of spare capacity, as firms were able to work through outstanding workloads and at an accelerated pace.

“It will be important to monitor both demand and cost trends as we move forward, to see if momentum continues to build and whether price pressures ease.”