Businesses in Yorkshire & the Humber are boosting their job creation plans due to feeling more confident about their prospects.
Yorkshire firms reported a sharp rise in optimism, which increased 14 points to 30%, according to the latest Business Barometer from Lloyds Bank Commercial Banking.
The proportion of businesses planning to increase staffing in the next year increased to 25% and overall confidence edged five points higher to 24%.
The Business Barometer questions 1,200 businesses monthly and provides early signals about UK economic trends both regionally and nationwide.
Kelly Green, regional director for Yorkshire at Lloyds Bank Commercial Banking, said: “It’s encouraging to see firms’ optimism bounce-back after dipping in July. It’s also a positive sign for the region’s economy that more businesses are expecting to take on extra staff.
“However, confidence in the economy has dropped for the second consecutive month running, which is likely to be as a result of continued uncertainty surrounding Brexit.
“Firms will need to manage their cashflow and working capital carefully to ensure they can capitalise on opportunities and manage challenges to remain resilient.”
Firms in the manufacturing sector remained most confident at 38%.
Hann-Ju Ho, senior economist, Lloyds Bank Commercial Banking said: “Business confidence was resilient in the first half of the year, but has eased back recently. This reflects changes in perceptions of Brexit risks, which underscores the importance of current EU-UK negotiations.”
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