Business confidence in economy continues to improve

Confidence in the Sheffield City Region economy continues to improve after a sustained period of growth for manufacturers.

The service sector has also seen a slight improvement on the second quarter of 2013, however the figures remain a “work in progress” and are similar to the same period a year ago.

The results for the city region are from the latest British Chambers of Commerce Quarterly Economic Survey (QES), which looks at business confidence between July and September 2013.

Manufacturing has seen a significant increase in UK sales and orders, compared with the second quarter of this year.

It has also seen improvement in investment, as well as turnover and profitability, which reached relatively high levels compared with recent years.

Businesses are more positive about cashflow and employment opportunities too. The only negative area is that export sales and orders remain static.

Meanwhile, the service sector has seen an increase in UK sales and order compared with the second quarter of 2013, and while export sales and orders have improved, they remain at low levels.

Turnover and profitability has seen a slight increase, but investment and employment has remained static, while confidence in cashflow had been reduced.

Richard Wright, executive director of Sheffield Chamber, said:

“We are delighted to see that business confidence is starting to improve across the Sheffield City Region.

“This can only be a positive framework to build on and develop a sustainable economy for the long-term.

“A successful manufacturing sector is critical to a successful economy and to have positive results from two consecutive quarters in 2013 is very encouraging.

“However, there is still a long way to go and we must not become complacent.

“The service sector is moving in the right direction, but it is certainly a work in progress and development is slow.

“Improvements are being made and with further investment from the private sector additional wealth can be created.”

Richard Wright
Richard Wright

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