West Midlands businesses ‘most confident in the UK’

Businesses in the West Midlands are the most confident in the UK, according to the latest Business Barometer from Lloyds Bank Commercial Banking.

Companies in the West Midlands report higher confidence in their business prospects, up three points to 36 per cent, and higher economic optimism, up three points to 13 per cent. Together, this gives an overall confidence of 25 per cent.

This positivity is reflected in their robust hiring intentions, with a net balance of 33 per cent of businesses in the region expecting to hire more staff during the next year, unchanged since last month’s report.

Across the UK, overall confidence grew three points to 13 per cent as firms’ confidence in their own prospects grew five points to 22 per cent, while their economic optimism also grew by three points to five per cent.

The Business Barometer questions 1,200 businesses monthly and provides early signals about UK economic trends both regionally and nationwide.

Amanda Dorel, regional director for the West Midlands at Lloyds Bank Commercial Banking, said: “It’s great to see another positive month for West Midlands businesses, with the region’s confidence surpassing every other region in the UK. We’ve seen first-hand the ambition and resilience of local firms and we’ll be by their side throughout 2019 and beyond to support their growth plans.

“This rise in confidence is certainly being reflected in businesses’ hiring intentions, with a third expecting to employ more staff. This growth will play a key role in helping the Midlands and wider economy prosper and we’ll be supporting them with a pledge to lend £2.5billion to businesses in the region this year.”

Across the region, a net balance of eight per cent of businesses said they feel that the UK’s exit from the European Union is having a positive impact on their expectations for business activity, up nine points on a month ago.