• Swindon & Wiltshire Economy
• Monday December 2 2024
• Author Name: Peter Davison

South West firms more confident about own prospects, less confident about economy – Lloyds

Businesses in the South West were more confident about their own trading prospects in November than they were in October, but their confidence in the UK economy is waning.

The latest Business Barometer from Lloyds Bank found firms’ confidence in their own prospects was up five points at 48 per cent. However, their optimism in the economy fell 18 points to nine per cent.

Taken together, this gives a headline confidence reading of 28 per cent – down from 35 per cent in October.

Firms in the manufacturing sector reported the first rise in trading prospects in four months, with the net balance up three points to 49 per cent.

Companies in construction and services also indicated stronger business growth outlooks with net balances of 56 per cent – up six points – and 61 per cent – up four points – respectively.

Retail firms, however, signalled softer prospects for a second month running, with the trading prospects’ net balance down six points at 45 per cent.

Amanda Dorel, regional director for the South West at Lloyds, said: “Despite the fall in overall confidence this month, it’s encouraging to see South West businesses more optimistic when it comes to their own trading prospects and identifying key areas for investment, such as developing their teams and introducing new products and services.

“As we approach the end of the year, it’s clear that our region’s businesses are committed to positioning themselves for future success. We’ll continue to support them with the tools and insights they need to navigate the months ahead and seize new opportunities in 2024.”

The Business Barometer, which surveys 1,200 businesses monthly and which has been running since 2002, provides early signals about UK economic trends both regionally and nationwide.

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