‘White-out’ delays region’s economic recovery

THE winter ‘white-out’ has delayed the North West’s recovery from the recession by up to three months, according to a Lancashire-based accountancy firm.

Fylde-based Ma2 has discovered that the increase in staff absenteeism was only the ‘tip of the iceberg’ and the conditions have put a ‘profound dent’ in businesses’ hopes of recovery.

Its research has discovered that small and medium-sized businesses as well as the retail and manufacturing sectors have been particularly badly affected.

Ma2 director Tony Mills said that the wintry weather had resulted in lost orders or late deliveries, delayed and postponed meetings and increased overheads.

He said: “The last two weeks have set the area’s economic recovery back by at least six to eight weeks in many cases and up to three months for businesses worst affected.

“Staff absenteeism has risen, which has meant some employers have had to invest in temporary staff to cover this. But supply chain delays and other increases in expenditure, such as a rise in the cost of heating the office or factory, have also had a significant knock-on effect.”