Invictus Games announcement boosts region’s business confidence
The announcement that the Invictus Games will be hosted by Birmingham in 2027 has been attributed to a rise in the region’s business confidence.
Business confidence in the West Midlands rose 15 points during July to 52%, according to the latest Business Barometer from Lloyds Bank Commercial Banking,
Companies in the region reported higher confidence in their own business prospects month-on-month, up 10 points at 46%. When taken alongside their optimism in the economy, up 18 points to 57%, this gives a headline confidence reading of 52% (vs. 37% in June).
Dave Atkinson, regional director for the West Midlands at Lloyds Bank Commercial Banking, said: “This month’s significant uptick in business confidence is a testament to the region’s resilience.
“The recent announcement that Birmingham will host the Invictus Games in 2027 is another exciting development that adds to the region’s positive momentum. The games will put the West Midlands in the international spotlight once again and provide a significant boost to the local economy through increased tourism and investment. We’ll continue to be by the side of local firms with our funding and support – whatever opportunities lie ahead.”
A net balance of 34% of businesses in the region also expect to increase staff levels over the next year, up eight points on last month.
Looking ahead to the next six months, West Midlands businesses identified their top target areas for growth as investing in their teams, for example through training (52%), introducing new technology (40%), and evolving their offering, for example by introducing new products or services (39%).
Overall UK business confidence climbed nine points in July to a net balance of 50% – the same as in May when confidence reached an eight-year high.
Hann-Ju Ho, senior economist, Lloyds Bank Commercial Banking, said: “This month shows that businesses are feeling more confident, buoyed by their positive trading prospects and economic outlook. Retail-focused businesses were the main driving force behind the positive rise in trading prospects and these results tally with the improvement we have seen in consumer confidence.
“With the data suggesting that businesses may have taken a more cautious approach in June, next month will be one to watch to see if the renewed sense of optimism continues.”
