North East Firms Keep Investing but Sales Slip Ahead of Budget, Chamber Survey Finds
The North East Chamber of Commerce’s latest Quarterly Economic Survey shows staffing and investment up, but weaker sales, orders and hiring plans.
- UK sales fell 10.6% and orders 9.2% on the previous quarter, though both were above last year.
- Current workforce levels rose 14.7%, but future workforce plans fell 10.4%.
- Firms raised concerns about crime, taxation, business rates and energy prices.
North East businesses are still investing and planning for growth despite weaker sales, according to the latest Quarterly Economic Survey from the North East Chamber of Commerce.
The survey, published ahead of the Autumn Budget, found improvements in current workforce levels, investment and expected profitability, offset by falling sales, orders and recruitment intentions.
The numbers
UK sales and orders fell by 10.6% and 9.2% respectively compared with the previous quarter, although both remained above last year’s levels.
Current workforce levels rose by 14.7% on the quarter, but future workforce plans fell by 10.4%. Price pressures were mixed: other overheads rose by 9.7%, while raw material, fuel and labour cost pressures eased.
Concerns ahead of the Budget
Businesses raised concerns about crime, taxation, business rates and energy prices.
Chamber president Natasha McDonough said the results highlighted “the resilience of North East businesses in a challenging operating environment”. Deputy chief executive Rhiannon Bearne said the Budget was an important opportunity for the government to give firms greater confidence to invest and trade.
