Business confidence in Yorkshire rose 13 points during March to 52%, according to the latest Business Barometer from Lloyds.
While companies’ confidence in their own business prospects remained steady month-on-month at 53%, their optimism in the economy rose 24 points to 50%. Taken together, this gives a headline confidence reading of 52% (vs. 39% in February).
Looking ahead to the next six months, Yorkshire businesses identified their top target areas for growth as investing in their team, for example through training (50%), evolving their offering, for example by introducing new products or services (40%), and entering new markets (37%).
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. This data was gathered between the 3rd – 17th March, ahead of the Spring Statement.
National picture
Overall, UK business confidence was 49% in March – the same as in February.
While firms’ optimism in their own trading prospects held steady at 57%, their confidence in the wider economy dropped one point to 40%.
The West Midlands and London were the joint most-confident of any UK nation or region in March (both 62%), followed by the North West (59%).
Sector insights
Retail confidence rose seven points to 58%, a post-pandemic high, reflecting positive trading prospects.
In contrast, the manufacturing sector saw the largest decrease in business confidence this month, declining 12 points to 39%, due to increased concerns about supply chain disruptions. Construction firms also saw a decline to 48% and businesses in the service sector saw confidence decline to 47%.
Martyn Kendrick, regional director for Yorkshire and the Humber at Lloyds, said: “Business confidence in Yorkshire has been growing consistently through the year so far, and is outpacing the UK average this month.
“Local firms will be looking how they can build on their positive outlook and drive fresh growth. We’ll be on hand to support their plans, whether that involves training for their team, or launching new products in new markets.”
