Business confidence is growing shows economic survey
Business confidence in Leeds City Region is growing according to the Partnership's latest economic report.
The results seem a little at odds with the national picture of an economy still in decline, but we have found several genuine grounds for optimism:
- Export sales reached their highest level since the start of the downturn, and advance orders also remain strong
- Over 60% of all businesses expect to havehigher turnover in 2012
- More than half anticipate higher profits
- Capital investment levels continue their steady recovery since 2008
Equally there remain areas of concern. Most notably, the smallest firms of up to 10 employees – which account for four-fifths of all our companies – face the greatest difficulties. They continue to struggle with cash flow and are the least likely to be hiring more staff.
One of the most significant issues raised was the transport network. The LEP is currently in discussion with the government as part of a ‘City Deals’ process that we hope will result in much greater local powers to direct and prioritise transport investment to those areas where it will have the greatest economic benefit.