Business confidence in Yorkshire and the Humber fell one point during October to 39%, according to the latest Business Barometer from Lloyds.
While companies in Yorkshire and the Humber reported higher confidence in their own business prospects month-on-month, up 12 points at 47%, their optimism in the economy fell 15 points to 30%. This gives a headline confidence reading of 39% (vs. 40% in September).
Looking ahead to the next six months, Yorkshire businesses identified their top target areas for growth as evolving their offering, for example by introducing new products or services (36%), investing in their team, for example through training (34%) and entering new markets (32%).
The Business Barometer, which surveys 1,200 businesses monthly, provides early signals about UK economic trends both regionally and nationwide.
National picture
Overall UK business confidence dipped slightly in October to 44% – down three points from September’s 47%.
This was driven by marginal falls in firms’ confidence about their own trading prospects (53% vs. 56% in September) and the economy (35% vs. 38% in September).
The North East of England was the most confident UK nation or region in October (63%), followed by London (56%) and the North West (53%).
Sector insights
Firms’ trading prospects pulled back for the third consecutive month in manufacturing to 46%, the lowest level since March. There were also moderate declines of 3 points in both retail and services to 51% and 57% respectively.
Expectations in construction bucked the trend, rising to 50%.
Martyn Kendrick, regional director of Yorkshire and the Humber at Lloyds, said: “Although overall business confidence saw a slight dip in October, businesses are increasingly optimistic when it comes to their own prospects – a reflection of the strength and opportunity in our region’s economy.
“As businesses target further growth, and as they finalise their plans for next year, we’ll continue to be by their side to help ensure they’re equipped to make the most of whatever new opportunity lies ahead.”
