Business confidence remains unchanged according to lLloyds Bank Business Barometer
Overall business confidence – an average of business prospects and economic optimism – remains unchanged at 29% in July, according to the latest Business Barometer from Lloyds Bank Commercial Banking.
The report revealed that construction (48%) and manufacturing (38%) were the most confident sectors, while the weakest were transport & communication (28%) and other services (24%). The North West (49%) and London (43%) were the most confident regions, while the South West and East Midlands were the least confident.
71% of firms expect the Bank of England to raise rates this year according to the Lloyds Business Barometer published 31st July 2018, the first test to that is today when interest rate decision will be announced by the Bank of England for this month.
Hann-Ju Ho, Senior Economist, Lloyds Bank Commercial Banking commented:
“The uplift in economic optimism this month illustrates a slightly more positive view on the balance of risks for the UK economy, despite the expected interest rate rise this year. However, with the net balance of stronger business activity declining slightly, it will be interesting to see if the overall business confidence measure shifts from its steady position towards the end of the year.”
Scott Barton, Managing Director for Mid Markets said:
“Despite ongoing political uncertainty relating to Brexit, businesses in the West Midlands, London and North West seem to be prepared to increase their staffing levels, which is good news. However, this sentiment is not shared by firms in Scotland, Wales and the East of England, which could have an impact on their future investment plans”.
Read the latest Business Barometer report from Lloyds Bank Commercial Banking in full click here.