British Chambers of Commerce Quarterly Economic Survey Q1 2014

Page 1

1st QUARTER 2014

BRITISH CHAMBERS OF COMMERCE

QUARTERLY ECONOMIC SURVEY


About us

The British Chambers of Commerce is the national body for a powerful and influential Network of Accredited Chambers of Commerce across the UK, a Network that directly serves not only its member businesses, but the wider business community. Representing thousands of businesses of all sizes and within all sectors, the British Chambers of Commerce is the voice of the ‘real economy’. Every Chamber sits at the very heart of its local community working with businesses to grow and develop by sharing opportunities, knowledge and know-how. No other organisation makes such a difference to business as the British Chambers of Commerce. Written and researched by: Tom Nolan, Policy Manager David Kern, Chief Economist Suren Thiru, UK Economist Sukhdeep Dhillon, Global Economic Adviser Acknowledgements: Mike Spicer, Director of Research

The British Chambers of Commerce 65 Petty France St. James’s Park London SW1H 9EU Tel: 020 7654 5800

www.britishchambers.org.uk The interactive British Chambers of Commerce Quarterly Economic Survey is available at www.economicsurvey.org.uk

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Contents

Introduction

1

Methodology

1

Summary 1st Quarter 2014

2

Domestic Orders and Sales

4

Export Orders and Sales

5

Employment

6

Recruitment Difficulties

7

Investment

8

Business Confidence

9

Capacity Utilisation and Cashflow

10

Prices

11

External Factors

12

National Totals - Manufacturing

13

National Totals - Services

14

Regions & Nations - Manufacturing

15

Regions & Nations - Services

16

Scotland 17 North East

18

North West

19

Yorkshire & the Humber

20

East Midlands

21

West Midlands

22

Wales

23

East of England

24

South East

25

South West

26

London

27

Northern Ireland

28

Further Enquiries

29


Introduction

Methodology

This Quarterly Economic Survey (QES) brings together results obtained from surveys carried out within the nations and regions of the United Kingdom by individual Chambers of Commerce.

The British Chambers of Commerce Quarterly Economic Survey for the 1st Quarter 2014 received almost 7,500 business responses. The respondents cover the entire United Kingdom, and were surveyed by postal and online questionnaires over the period 24 February to 19 March.

Those wishing to obtain a more detailed survey of economic conditions in a particular nation or region as perceived by individual businesses are invited to contact the representatives listed on the closing page of this survey report. While the figures conveyed in this summary derive from the Chambers’ respective enquiries, the interpretation is the responsibility of the British Chambers of Commerce, and should not be regarded as necessarily representing the view of any contributing Chamber. NB: Balance figures, referred to throughout this report, are determined by subtracting the percentage of companies reporting decreases in a factor from the percentage of companies reporting increases. Construction firms are included in the manufacturing total.

In the manufacturing sector 2,046 firms, employing approximately 300,000 people, responded. 1,426 (69%) of manufacturing respondents were exporters. In the service sector 5,433 businesses with approximately 650,000 employees responded. Of the service sector participants, 2,713 (50%) were exporters. While the majority of respondents employ fewer than 500 people, the sample included many large businesses. Total responses are weighted according to the actual distribution of companies by size within each region and nation, and each region and nation is similarly weighted within the national aggregates to ensure that the sample provides a truly representative picture of UK commerce and industry. The survey is the largest and most representative of its kind in the UK. Number of responses

7,479

Manufacturing Firms

2,046 (27 % of total)

Services Firms

5,433 (73% of total)

Number of Exporters

4,139

Manufacturing Exporters

1,426 (69% of manufacturers)

Services Exporters

2,713 (50% of services firms)

1


Summary 1st Quarter 2014 The Q1 2014 results are overall upbeat. All the critical Q1 balances for both manufacturing and services are stronger than their long-term averages and some are at all-time highs for our survey. In manufacturing, most key balances rose between Q4 2013 and Q1 2014. There were very small falls in employment and profitability confidence, but these balances are still positive and at historically high levels, indicating continued growth. Six manufacturing balances are at all-time highs: domestic sales; domestic orders; employment expectations; investment in plant & machinery; investment in training; and turnover confidence. In services, there were some small mixed movements between Q4 and Q1, but almost all the key balances remain above their average 2007 levels. There was a surprisingly large fall in the Q1 service employment balance, but this follows a large increase in the previous quarter. The services employment expectations balance rose, and is now higher than its historical average. Both service export balances rose to new all-time highs in Q1. Intentions to raise prices fell in manufacturing and rose slightly in services; but inflation remains a major area of concern for businesses in both sectors. Domestic Market Most Q1 2014 national domestic balances were higher than Q4 2013. One service sector balance recorded a small fall, but all the domestic balances remain at historically high levels in both sectors. The manufacturing sector’s net balance for domestic sales increased from +36% to +38%, equalling its all-time high for our survey. The balance for manufacturers’ home orders rose from +35% to +42%, a new all-time high. The service sector’s balance for domestic sales fell from +38% to +35%, still close to historically high level. The net balance for service domestic orders rose from +32% to +33%, the best level since Q1 1997. Export Market The national export balances rose in Q1 2014. For both manufacturing and services, all the balances are at historically high levels. The manufacturing balance for export sales increased from +35% to 40%, the best level since Q4 1994. The manufacturing balance for export orders rose from +30% to +35%, the highest since Q4 2010. The service balance for export sales increased by two points, to +38%, an all-time high for our survey. The service export orders balance increased by six points, to +39%, also a new all-time high.

The domestic sales balance increased for manufacturing (+2pts) but decreased for services (-3pts) -14pts

+2pts to to -6% +38%

Employment The employment balances recorded divergent movements in Q1. For both sectors, the backward-looking employment balances fell (but still indicate growth), while the forwardlooking employment expectations balances rose. In manufacturing, the employment balance fell two points, to +31%, while the employment expectations balance rose nine points, to +40%, an all-time high. The service employment balance fell 13 points, to +16%, while the employment expectations balance rose two points, to +29%, the highest level since Q4 2007. Investment Most national investment balances rose in Q1. One service balance fell very slightly, but all balances remain at historically high levels. The balance of manufacturing firms that have revised upwards their plans to invest in plant & machinery increased by five points, to +37%, an all-time high. Manufacturing intentions to invest in training increased four points, to +33%, equalling the all-time high. The balance of service firms that have revised upwards their plans to invest in plant & machinery fell one point to +23%, but remains near historically high level. Service sector intentions to invest in training rose four points to +30%, the best level since Q3 2007. All the investment balances are now above their longterm historical averages.

The export sales balance increased for manufacturing (+5pts) and for services (+2pts).

-7pts

-3pts to -2% +35% to

Manufacturing +40% (+5pts) Manufacturing +8% (-16pts)

2

Services +38% (+2pts)


Business Confidence All the national confidence balances remained at historically high levels in Q1. Confidence that manufacturing turnover will improve in the next 12 months was +67% in Q1, and continues to be at an all-time high. Confidence that manufacturing profitability will improve in the next 12 months fell from +51% to +50%, but remains at a very high level, only just below the all-time high. Confidence that service sector turnover will improve in the next 12 months was +60%, the same as in Q4, and remains the highest level seen since Q4 1997. Confidence that service sector profitability will improve in the next 12 months rose from +45% to +47%, the best level since Q3 2007.

Prices Intentions to raise prices diverged between manufacturing and services. The balance of manufacturing firms reporting pressure to raise prices fell seven points to +24%, mainly due to reduced pressures from raw material costs. The balance of service firms expecting to raise prices increased two points to +29%, the highest level since Q1 2011.

Capacity Utilisation and Cashflow The share of manufacturing firms operating at full capacity fell two percentage points to 44%, but remains very high. The share of service firms operating at full capacity increased by three points to +46%, only just below the alltime high recorded in Q4 1996. The Q1 cashflow balances recorded small divergent movements. The manufacturing cashflow balance rose one point to +13%, well above the long-term historical average. However, services cashflow fell one point to +15%, but remains well above the long-term historical average.

A view from BCC Chief Economist David Kern The upbeat results of our new survey, coupled with positive economic indicators, suggest that the economy is continuing to grow at a solid pace. But, in spite of this impressive progress, the recovery is not yet secure. UK growth is still unduly reliant on consumer spending, driven by a buoyant housing market and a falling savings ratio. The very large current account deficit also poses risks. Since UK personal debt levels are still too high and must fall further, it will be difficult to sustain the current pace of growth in the medium term without structural changes in the economy. Though personal consumption must play an important role in the recovery, unless investment and net exports can make a bigger contribution to growth, there is a risk that the recovery will stall. The strong export and investment balances in our survey confirm that business is ready to play a major role in growing and rebalancing the economy. But the government and the MPC must help create the necessary conditions for this to happen.

The balance of service firms reporting an increase in domestic orders increased by 1pt in Q1 +1pt to +33%

The balance of firms who employed new staff decreased for both manufacturing (-2pts) and services (-13pts)

-2pts

-13pts

to

to

+31%

+16%

3


Domestic sales and orders

Domestic orders 50 40

recession

recession

30 20

% Balance

10

Q. Excluding seasonal variation, domestic sales over the past 3 months are: Up/Same/Down

0 -10 -20 -30 -40 -50 -60

Q. Excluding seasonal variation, domestic orders over the past 3 months are: Up/Same/Down

1989

1991

1993

1995

1997

1999

2001

2003

2005

Year

2007

2009

2011

2013

Service Sector Manufacturing Sector

Domestic orders balance is at a historically high level for manufacturing The National Perspective Most national domestic balances increased in Q1 2014, compared with Q4 2013, and the manufacturing balances were at their all-time highs. Although one service sector balance recorded a fall, all the domestic balances are at or near historically high levels in both sectors, and all are higher than their average 2007 pre-recession levels. The manufacturing sector’s net balance for domestic sales rose from +36% in Q4 2013 to +38% in Q1 2014, a joint all-time high for our survey. The balance for manufacturers’ domestic orders increased from +35% in Q4 2013 to +42% in Q1 2014, a new all-time high for our survey.

Manufacturers’ domestic orders balance rose by seven points to +42%

Service sector domestic orders balance rose by one point for the quarter to +33%

+42%

The service sector’s balance for domestic sales fell from +38% in Q4 2013 to +35% in Q1 2014, still a historically high level. The net balance for service domestic orders rose from +32% in Q4 2013 to +33% in Q1 2014, the best level since Q1 1997.

4

The Regions and Nations Perspective The Q1 2014 manufacturing balances for domestic sales were in positive territory in all regions and nations. In the case of manufacturing domestic orders, we find the same pattern, with all in positive territory in Q1. Comparing the manufacturing sector’s domestic performance across the various regions and nations, the strongest Q1 domestic manufacturing balances were in Wales for domestic sales at +50%, and the North East for domestic orders, at +56%. At the other extreme, the weakest Q1 net balances were in London and the South East for domestic sales, both at +21%, and in the South West for domestic orders at 16%.

Q1 14 +33%

The Q1 2014 service sector’s net balances for domestic sales were in positive territory in all regions and nations. In the case of service domestic orders, we find the same pattern, with all in positive territory in Q1 2014. Comparing the service sector’s domestic performance across the various regions and nations, the strongest Q1 domestic balances were in the East of England at +56% for domestic sales, and at +52% for domestic orders. At the other extreme, the weakest Q1 net service balances were in Scotland at +3% for domestic sales and at +13% for home orders.


Export sales and orders

Export orders 40

recession

M

recession

30

S

20

% Balance

10

Q. Excluding seasonal variation, export sales over the past 3 months are: Up/Same/Down

0 -10 -20 -30 -40 -50

Q. Excluding seasonal variation, export orders over the past 3 months are: Up/Same/Down

1989

1991

1993

1995

1997

1999

2001

2003

2005

Year

2007

2009

2011

2013

Service Sector Manufacturing Sector

Export orders balances increase for manufacturing and services firms

The National Perspective The national export balances rose for both sectors in Q1 2014, and the service balances recorded new all-time highs. All the export balances are at historically high levels for both manufacturing and services, and all remain higher than their average pre-recession levels. The manufacturing balance for export sales increased from +35% in Q4 2013 to +40% in Q1 2014, the best level since Q4 1994. The manufacturing balance for export orders rose from +30% in Q4 to +35% in Q1, the best level since Q4 2010.

Manufacturers’ export sales increased by five points to +40%

The Regions and Nations Perspective The Q1 2014 manufacturing balances for export sales were in positive territory in all regions and nations. In the case of manufacturing export orders, we find the same pattern, with all in positive territory in Q1 2014. Comparing manufacturing export performances across the various regions and nations, the strongest Q1 export balances were in the Eastern region, at +58% for export sales and at +68% for export orders. At the other extreme, the weakest Q1 manufacturing net balances were in the East Midlands, at +7% for export sales and at +8% for export orders.

Service sector export sales balance increased to +38% in Q1 from +36% in Q4

+40%

The service balance for export sales increased by two points in Q1 2014 to +38%, a new all-time high for our survey. The service export orders balance increased by six points in Q1 to +39%, also a new all-time high for our survey.

+38% The Q1 2014 service sector balances for export sales were in positive territory in all regions and nations. In the case of service export orders, we find the same pattern, with all regions and nations in positive territory in Q1 2014. Comparing service sector export performances across the various regions and nations, the strongest Q1 balances were in the East of England region, at +73% for export sales and the South East at +71% for export orders. At the other extreme, the weakest Q1 service balances were in the North East, at +8% for export sales and at +7% for export orders.

5


Employment

Employment expectations 40

recession

recession

30 20

% Balance

10 0 -10 -20

Q. Over the past 3 months your workforce has: Increased/Remained Constant/Decreased Q. What changes do you expect to your workforce over the next 3 months: Increase/Remain Constant/Decrease

-30 -40 -50

1989

1991

1993

1995

1997

1999

2001

2003

2005

Year

2007

2009

2011

2013

Service Sector Manufacturing Sector

Both sectors record weaker but still positive backward-looking employment balances and stronger forward-looking balances The National Perspective The balance for employment in the services sector deteriorated from +29% in Q4 2013 to +16% in Q1 2014. This reversed the significant increase between Q2 2013 and Q4 2013 when the balance rose from +15% to +29%. The manufacturing employment balance also declined over the first quarter of 2014, from +33 in Q4 2013 to +31 in Q1 2014. The employment balances for both sectors remain above their long-term averages. In contrast, the forward-looking employment expectations balance for both manufacturing and services rose in Q1 2014. The employment expectations balance for the manufacturing sector +31% in Q4 2013 to +40% in Q1 2014, the highest on record. The services sector saw its employment expectations balance rise from +27% in Q4 2013, to +29% in Q1 2014. This indicates that employment in both sectors is expected to increase over the next quarter.

The employment expectations balance for the manufacturing sector rose nine points to +40%

+40%

The Regions and Nations Perspective The balance for employment in the services sector was highest in the South West (+29), followed by the West Midlands (+27%). London was the only region to record a zero balance indicating that services firms in the capital don’t expect their workforces to grow in the next quarter. The South West (+44%) also recorded the largest positive employment expectations balance among services firms, followed by the South East (+38%). Northern Ireland recorded the lowest employment expectations balance (+14%). The South West (+46%) recorded the highest manufacturing sector employment balance, followed by the North East (+40%) and the West Midlands (+38%). At the other end of the scale, the East of England recorded the lowest balance with a reading of +10%. The North East had the strongest employment expectations balance of +70%, followed by the West Midlands (+51) and the North West (+42). In contrast, Northern Ireland (+22%) recorded the weakest employment expectations balance in the manufacturing sector, followed by Scotland (+23%). The service sector backwardlooking employment balance fell 13 points to +16%

+16%

6


Recruitment difficulties

Q. If yes, were they for: a) Part-time jobs/Full-time jobs b) Temporary jobs/Permanent Jobs Q. Did you experience any difficulties finding suitable staff? Yes/No Q. If yes, for which of the following categories: Skilled manual and technical/Professional and managerial/Clerical/Un- and semi-skilled

% of firms with difficulty recruiting

Q. Have you attempted to recruit staff over the past 3 months: Yes/No

Recruitment difficulties 100

recession

M

recession

S

80

60

40

20

1989

1991

1993

1995

1997

1999

2001

2003

2005

2007

2009

Year

2011

2013

Service Sector Manufacturing Sector

Attempts to recruit fall for both manufacturing and services firms

The National Perspective In the manufacturing sector the percentage of firms that attempted to recruit new staff fell from 82% in Q4 2013 to 76% in Q1 2014. This was driven by a ten percentage point fall in the percentage of firms that tried to hire full-time staff (82% to 72%), which more than offset a two percentage point increase in the percentage of firms trying to recruit part-time staff (18% to 20%). The percentage of firms looking to hire on a permanent basis fell from 60% in Q4 2013 to 56% in Q1 2014. The percentage of firms trying to recruit temporary staff fell from 40% in Q4 2013 to 38% in Q1 2014. The percentage of manufacturing firms that experienced difficulties when recruiting fell over the past quarter from 81% in Q4 2013 to 72% in Q1 2014. The percentage of firms in the services sector that tried to hire also decreased over the last quarter, from 72% in Q4 2013 to 68% in Q1 2014. The share of service sector firms that attempted to recruit full-time staff fell from 73% in Q4 2013 to 64% in Q1 2014, outweighing the increase in percentage of services firms trying to recruit part-time staff (28% to 37%). Within the services sector, the percentage of firms trying to hire permanent staff increased from 61% in Q4 2013 to 66% in Q1 2014, the highest proportion since Q3 2008. The percentage of firms in the services sector that ran into difficulties when trying to hire rose slightly from 60% in Q4 2013 to 62% in Q1 2014. The share of manufacturing firms that experienced recruitment difficulties fell by nine percentage points in Q1

72%

The Regions and Nations Perspective Within the manufacturing sector, the East Midlands (93%) had the highest percentage of firms that tried to hire in Q1 2014. They were followed by the North East (87%) and the South West (82%). The South East had the lowest percentage with less than half (47%) of manufacturing firms looking to take on new employees. Manufacturing firms in Wales experienced the greatest amount of difficulty when attempting to hire new staff, with almost all (97%) firms reporting problems. Firms in the North East (77%) had the second highest level of difficulty, followed by the South West (74%). Firms based in the South East (37%) experienced the fewest difficulties.

The share of firms in the service sector that experienced recruitment difficulties rose two percentage points in Q1

Q1 14 62%

Within the services sector, the East Midlands (87%) had the highest percentage of firms that tried to recruit in the first three months of 2014, followed by London (78%) and the North East (74%). Scotland recorded the lowest figure with just over half (51%) of firms attempting to hire, followed by Wales with 54%.Service sector firms in Wales experienced the greatest difficulties in hiring new staff with 95% of firms reporting problems. They were followed by the Scotland (71%) and the North East (68%). Firms based in Yorkshire and the Humber (48%) experienced the fewest difficulties.

7


Investment

Investment in plant and machinery 40 35

recession

recession

% Balance

30 25 20 15 10 5 0 -5 -10 -15 -20

Q. Over the past 3 months, what changes have you made to your investment plans: a) For Plant and Machinery: Revised upwards/ Revised downwards/No change b) For Training: Revised upwards/ Revised downwards/No change

-25 -30 -35 -40

1989

1991

1993

1995

1997

1999

2001

2003

2005

Year

2007

2009

2011

2013

Service Sector Manufacturing Sector

Investment balances improve for manufacturing but are mixed for services

The National Perspective In the manufacturing sector the investment in plant & machinery balance increased from +32% in Q4 2013 to +37% in Q1 2014. The investment in training balance increased to +33%, from +29% in Q4 2013. This is an all-time high for the survey.

The manufacturing sector balance for plant & machinery investment increased five points to +37%

+37% The service sector continues to show improvement in investment in training, the investment in training balance increased from +26% to +30%. The investment in plant and machinery balance decreased to +23% from +24% in the previous quarter.

8

The Regions and Nations Perspective For the manufacturing sector the investment in plant and machinery balance remained positive across all regions. The strongest results were recorded in Wales (+62%) followed by Northern Ireland (+43%), West Midlands (+43%) and the South East (+40%). Similarly the investment in training balance was also positive across all regions. The highest results were recorded in Wales (+57%) followed by Northern Ireland (+41%). For the service sector all regions recorded a positive balance for investment in plant and machinery. The strongest positive balances were recorded in Wales at +41%. Similarly the investment in training balance recorded positive balances for all regions. The strongest result at +45% was recorded for Wales followed by the North East and the East of England (both at +36%). The service sector balance for training investment increased by four points to +30%

+30%


Business confidence

Confidence that profitability will improve 60

recession

recession

M

50 40

Se

30

% Balance

20 10 0 -10 -20

Q. Do you believe that over the next 12 months: a) Turnover will: Improve/Remain the same/ Worsen b) Profitability will: Improve/Remain the same/Worsen

-30 -40 -50

1989

1991

1993

1995

1997

1999

2001

2003

2005

2007

Year

2009

2011

2013

Service Sector Manufacturing Sector

Confidence remains high for manufacturing and services sectors

The National Perspective All the national confidence balances remained at historically high levels in Q1 2014 for both turnover and profitability. In both manufacturing and services, all the confidence balances are higher than their average pre-recession levels. In both sectors, the profitability confidence balances remain weaker than the turnover balances in Q1 2014. Confidence that manufacturing turnover will improve in the next 12 months was +67% in Q1 2014, the same as in Q4 2013, and an equal all-time high. Confidence that manufacturing profitability will improve in the next 12 months fell marginally from +51% in Q4 2013 to +50% in Q1 2014, still a very high level and only just below the all-time high recorded last quarter. Manufacturers’ confidence that turnover will improve was unchanged at+67% for Q1 2014

+67%

Confidence that service sector turnover will improve over the next 12 months was +60% in Q1 2014, the same as in Q4 2013, and the joint highest level since Q3 1997. Confidence that service sector profitability will improve in the next 12 months rose from +45% in Q4 to +47% in Q1, the joint highest level since Q3 2007.

The Regions and Nations Perspective The Q1 2014 manufacturing balances for turnover confidence were in positive territory in all regions and nations. In the case of profitability confidence, we find the same pattern, with all regions and nations in positive territory in Q1. Comparing confidence levels across the various UK regions and nations, the strongest Q1 2014 manufacturing balances were in the West Midlands for turnover confidence at +78%, and in the East of England for profitability confidence, at +69%. At the other extreme, the weakest Q1 manufacturing balances were in the South West for turnover confidence, at +42%, and in Scotland for profitability confidence, at +22%.

Service sector confidence that profitability will improve rose by two points to +47%

+47%

In the service sector, the Q1 2014 balances for turnover confidence were in positive territory in all the regions and nations. In the case of profitability confidence, eleven regions and nations were in positive territory in Q1 2014, while one service balance was negative. Comparing service sector confidence across the various UK regions and nations, the strongest Q1 service sector balances were in the South East, at +77% for turnover confidence, and at +62% for profitability confidence. At the other extreme, the weakest Q1 service sector balances were in Scotland, at +12% for turnover confidence, and at -15% for profitability confidence.

9


Capacity utilisation and cashflow

Capacity utilisation

% Operating at full capacity

50

Q. Are you currently operating: At full capacity/Below full capacity Q. During the last 3 months how has your cashflow changed: Improved/Same/Worsened

recession

recession

40

30

20

10

1989

1991

1993

1995

1997

1999

2001

2003

2005

Year

2007

2009

2011

2013

Service Sector Manufacturing Sector

Capacity Utilisation rose for services Cashflow fell back for services but and fell for manufacturing, but remain remains above long-term average high for both sectors for both sectors CAPACITY UTILISATION

CASHFLOW

The National Perspective In the manufacturing sector the capacity utilisation result fell two percentage points to 44% in Q1 2014, two points below the peak seen in Q4 2007.

The National Perspective In the manufacturing sector the cashflow balance increased by one point to reach +13%. The cashflow balance is now 9 points below its peak last seen in Q3 2013.

In the services sector the percentage of firms stating that they were operating at full capacity edged upwards from 43% in Q4 to 46% in Q1. The Regions and Nations Perspective In the manufacturing sector the highest proportion of firms reporting that they were operating at full capacity was recorded in Scotland (76%) exceeding the national average of 44%, followed by London (61%) and the South West (51%). The region with the lowest capacity utilisation figure was the East of England (25%). In the services sector the two regions reporting the highest capacity utilisation figure were London (61%), followed by Wales (46%). The lowest figure was recorded in the North East, East Midlands and the South West (all at 37%).

The percentage of manufacturers operating at full capacity fell two points to 44%

44%

10

The service sector cashflow balance fell one point to +15% in Q1 2014

-6%

Q1 14 +15%

In the service sector the cashflow balance decreased by one point to +15%. The balance remains six points below its peak last seen in Q4 1997. The Regions and Nations Perspective In the manufacturing sector the highest balances were recorded in London (29%), South West (28%) followed North West (25%). Negative balances were recorded in North East (-18%), Scotland (-10%) and East Midlands (-8%). In the services sector, the highest balances were recorded in the South West (31%), East of England (26%), and South East (21%). Northern Ireland was the only region that recorded a negative balance (-6%).


Prices

Expectations to increase prices 50

recession

40

Q. Over the next 3 months, do you expect the price of your goods/services to: Increase/Remain the same/Decrease

% Balance

30

Q. Is your business currently suffering pressures to raise prices from any of the following: Pay settlements/Raw material prices/Finance costs/ Other overheads

20

10

0

-10

1997

1999

2001

2003

2005

2007

Year

2009

2011

2013

Service Sector Manufacturing Sector

Intentions to raise prices fall back for manufacturing but increase for services

The National Perspective The prices balances continued to fall in Q1 for manufacturing firms but climbed upwards for services firms. For manufacturing the price balance was down six points to +24%. Of the factors identified as contributing to price pressures 53% identified raw materials costs, down 12 percentage points on Q4 13. There was a fall in the share of firms which identified financial costs (down five percentage points to 13%). There was an increase in the share of manufacturing firms which identified pay settlements (up two percentage points to 28%) and a slight decrease in other overheads (down two percentage point to 42%). For the service sector the prices balance increased by two points to +29%. All the factors identified as contributing to price pressures saw a decrease apart from pay settlements. There was an increase in the share of service firms which identified pay settlements (up one percentage point to 23%), raw material prices (down five percentage points to 18%). There was a fall in the share of service firms which identified finance costs (down two percentage points to 15%) and other overheads (down three percentage points to 38%).

For manufacturing the price balance decreased by seven points to +24%

The Regions and Nations Perspective In the manufacturing sector the South East (+35%), West Midlands (+31%) and the North West (30%) recorded the highest price balances. Scotland recorded the lowest with a -2% balance. This was followed by the North East (+6%), Wales (+11%) and Northern Ireland (+17%). Raw material prices were identified across most regions as the factor contributing most to price pressures. In the services sector, price balances were positive across all the regions and nations. The highest balance was recorded by the North West and the East of England (both at +35%). This was followed by London (+31%) the East Midlands (+30%) and Wales (+30%). In all regions raw materials and/or other overheads were identified as the main contributing factors to price rises.

For the services sector the price balance figure rose two points to +29%

+29%

+24%

11


External factors

External factors 35

% More of a concern

30

25 20

15 10

5

Q. Please indicate which of the following factors are more of a concern to your business than 3 months ago: Interest Rates/Exchange Rates/ Business Rates/Inflation/Competition/Tax

0

Interest rates

Exchange rates

Business rates

Inflation

Competition

Taxation Manufacturing Services

Concerns about interest rates increased for both manufacturing and services Manufacturing Manufacturing firms, at the national level, recorded divergent movements in their anxiety levels in Q1 2014, but there were more declines than increases. Inflation worries fell from 40% to 33%, but remained manufacturers’ biggest area of anxiety; medium-sized firms, at 39%, expressed the biggest concern. Competition worries eased from 34% to 29%, and were the second equal largest area of anxiety; micro firms (33%) expressed the biggest concern. Exchange rate worries edged up from 28% to 29%, and were also the second equal largest area of anxiety. Medium-sized firms (34%) expressed the highest concern. Interest rate concerns rose from 13% to 16%; small firms (20%) signalled the highest level. Corporate taxation concerns fell from 24% to 19%; micros and mediumsized firms, both at 27%, signalled the highest level. Business rate worries eased from 21% to 20%; small firms, at 26%, signalled the highest level.

Services Service sector firms, at the national level, also recorded divergent movements in their anxiety levels in Q1 2014, and there were more declines than increases. Inflation worries fell from 34% to 32%, but became the biggest area of anxiety for service firms; small firms (38%) signalled the highest concern. Competition worries fell from 35% to 29%, and were the second biggest area of anxiety for service firms; micro service firms (at 32%) signalled the highest level. Corporate taxation worries stayed unchanged at 19%; medium-sized firms (33%) signalled the highest concern. Business rate worries fell from 23% to 19%; small firms (25%) signalled the highest level. Exchange rate worries eased from 14% to 11%; small firms (16%) signalled the highest concern. Interest rate concerns rose from 16% to 18%; medium firms (23%) signalled the highest level. Service sector firms are much less concerned than manufacturers over exchange rates; but they are slightly more worried over interest rates.

Manufacturing

Services

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Unweighted

Unweighted

Weighted

Weighted

Unweighted

Unweighted

Weighted

Weighted

% Interest rates

17

18

13

16

16

17

16

18

% Exchange rates

27

27

28

29

14

13

14

11

% Business rates

26

24

21

20

24

22

23

19

% Inflation

34

33

40

33

30

32

34

32

% Competition

37

32

34

29

36

31

35

29

% Tax

27

21

24

19

21

18

19

19

12


National Totals Manufacturing 1-19

20-199

200-499

500+

All (Unweighted)

All (weighted)

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

24

32

35

44

26

41

44

25

33

41

36

38

Domestic orders

17

31

38

42

27

43

40

37

29

41

35

42

Export sales

23

37

34

39

40

53

34

18

32

46

35

40

Export orders

23

37

34

35

40

49

24

13

26

42

30

35

Employment last 3 months

15

22

36

31

22

34

43

25

24

29

33

31

Employment next 3 months

21

28

38

40

29

42

25

38

29

36

31

40

% Tried to recruit

55

45

77

70

86

88

85

74

72

66

82

76

% Part-time

48

37

14

24

15

16

11

13

24

26

18

20

% Full-time

70

80

88

78

87

60

77

67

78

77

82

72

% Temporary

47

27

40

40

49

46

29

28

63

60

40

38

% Permanent

67

90

63

63

53

49

60

46

40

42

60

56

% Recruitment difficulties

54

72

95

68

101

73

107

60

74

70

81

72

% Skilled manual

31

57

46

44

60

40

63

39

40

46

41

47

% Professional/managerial

15

18

36

31

54

44

63

42

31

30

36

38

% Clerical

12

9

15

10

19

7

13

7

15

10

15

9

% Semi and unskilled

15

23

18

20

11

8

9

6

13

14

12

13

Cashflow

8

14

10

16

24

19

6

7

12

18

12

13

Investment - plant/machinery

16

28

34

38

37

42

33

33

28

32

32

37

Investment - training

27

27

35

34

32

35

20

34

29

26

29

33

Confidence - turnover

55

61

67

70

52

65

73

54

62

70

67

67

Confidence - profitability

43

47

54

61

51

45

46

34

49

56

51

50

% Full capacity

43

39

44

51

40

46

49

29

42

44

46

44

Prices

27

29

30

31

28

29

33

14

29

28

31

24

% Pay settlements

18

14

29

24

34

49

13

19

26

23

26

28

% Raw materials

62

57

53

51

66

68

69

38

58

51

65

53

% Financial costs

19

16

27

19

26

16

8

8

17

14

18

13

% Other overheads

51

41

45

40

46

46

29

31

50

43

44

42

Number of companies

890

908

997

955

139

117

67

66

2093

2046

Number of employees

7043

6876

60218

59460

40549

37313

102967

244223

210777

347872

Number of exporters

570

594

720

698

109

91

50

43

1449

1426

13


National Totals Services 1-19

Q4 13

20-199

Q1 14

200-499

Q4 13

Q1 14

Q4 13

500+

All (Unweighted)

Q1 14

Q4 13

Q1 14

Q4 13

All (weighted)

Q1 14

Q4 13

Q1 14

Domestic sales

23

27

41

39

47

55

49

20

29

31

38

35

Domestic orders

13

26

34

35

41

56

47

20

21

30

32

33

Export sales

33

33

34

39

39

30

41

41

35

37

36

38

Export orders

30

33

31

39

45

45

41

39

30

38

33

39

Employment last 3 months

9

8

33

28

40

44

36

-16

16

15

29

16

Employment next 3 months

18

23

29

38

35

34

24

13

21

26

27

29

% Tried to recruit

42

33

81

75

91

88

79

82

54

45

72

68

% Part-time

42

46

28

34

21

39

31

43

34

40

28

37

% Full-time

60

55

74

67

80

62

69

59

67

62

73

64

% Temporary

39

44

43

39

40

40

68

33

39

39

40

35

% Permanent

63

58

62

66

60

61

37

69

61

62

61

66

% Recruitment difficulties

58

59

64

58

61

60

54

84

60

59

60

62

% Skilled manual

22

26

22

25

19

20

17

18

21

24

20

23

% Professional/managerial

27

28

31

34

40

39

32

42

29

32

31

34

% Clerical

12

15

15

15

14

11

8

13

15

15

13

14

% Semi and unskilled

9

13

13

9

10

12

9

31

11

11

11

14

Cashflow

8

9

18

16

18

28

26

9

11

11

16

15

Investment - plant/machinery

12

15

26

27

28

26

37

29

18

19

24

23

Investment - training

18

21

22

34

36

27

30

32

22

28

26

30

Confidence - turnover

56

58

65

67

58

49

60

63

56

57

60

60

Confidence - profitability

45

47

45

51

49

27

45

56

43

45

45

47

% Full capacity

33

35

45

41

55

52

47

64

37

38

43

46

Prices

23

24

28

30

34

45

24

16

27

30

27

29

% Pay settlements

16

13

28

25

20

46

23

22

19

18

22

23

% Raw materials

19

19

27

21

29

12

21

15

21

19

23

18

% Financial costs

18

15

19

20

17

8

14

13

18

17

17

15

% Other overheads

40

37

43

45

47

45

36

23

43

39

41

38

Number of companies

4027

3809

1501

1315

202

159

169

150

5899

5433

Number of employees

22101

22437

87047

74955

58207

46941

507300

498611

674655

642944

Number of exporters

1927

1901

738

640

94

80

79

90

2859

2713

14


Regions and Nations Disaggregation Manufacturing SC

NE

NW

YH

EM

WM

W

NI

EA

SE

SW

L

Nat

Domestic sales

31

30

44

49

30

44

50

28

43

21

42

21

38

Domestic orders

29

56

41

50

25

40

50

30

43

33

16

53

42

Export sales

28

50

44

44

7

34

37

18

58

51

20

40

40

Export orders

24

45

40

33

8

21

35

19

68

49

18

31

35

Employment last 3 months

30

40

36

25

28

38

23

18

10

11

46

35

31

Employment next 3 months

23

70

42

31

39

51

25

22

26

34

41

25

40

% Tried to recruit

67

87

76

67

93

77

57

57

68

47

82

66

76

% Part-time

13

17

37

37

16

8

11

25

11

29

10

20

% Full-time

87

83

63

63

84

92

89

75

40

48

90

72

% Temporary

44

34

43

34

36

24

46

29

38

50

32

38

% Permanent

56

66

57

66

64

44

54

71

32

50

53

56

% Recruitment difficulties

66

77

66

47

55

67

97

66

49

37

74

58

72

% Skilled manual

46

76

43

38

100

44

72

53

31

21

34

31

47

% Professional/managerial

53

42

21

23

77

43

65

41

21

13

51

30

38

% Clerical

14

1

27

7

3

10

17

4

4

2

5

0

9

% Semi and unskilled

16

3

16

8

3

12

31

3

6

8

20

29

13

Cashflow

-10

-18

25

24

-8

16

6

0

23

17

28

29

13

Investment - plant/machinery

15

43

25

24

32

43

62

34

38

40

19

36

37

Investment - training

37

41

29

21

25

32

57

20

33

25

35

33

33

Confidence - turnover

48

75

64

73

61

78

56

45

68

61

42

56

67

Confidence - profitability

22

33

50

59

52

62

54

34

69

39

26

48

50

% Full capacity

76

39

36

38

26

26

40

40

25

33

51

61

44

Prices

-2

6

30

21

28

31

11

17

24

35

21

20

24

% Pay settlements

23

51

28

21

21

25

15

19

43

21

44

16

28

% Raw materials

78

57

46

44

46

50

56

67

57

35

49

24

53

% Financial costs

4

11

11

12

16

8

33

11

22

14

3

14

13

40

45

40

26

47

36

26

55

43

34

31

36

42

% Other overheads

Key SC Scotland NE North East NW North West YH Yorkshire and the Humber EM East Midlands WM West Midlands W Wales NI Northern Ireland EA Eastern SE South East SW South West L London Nat National

15


Regions and Nations Disaggregation Services SC

NE

NW

YH

EM

WM

W

NI

EA

SE

SW

L

Nat

Domestic sales

3

36

37

39

42

46

27

39

56

40

46

25

35

Domestic orders

13

33

35

36

36

42

24

27

52

41

35

25

33

Export sales

8

31

46

49

37

17

12

73

70

17

24

38

Export orders

7

28

46

46

39

16

9

68

71

18

33

39

Employment last 3 months

0

13

21

25

23

27

14

9

25

25

29

0

16

Employment next 3 months

0

25

30

34

35

34

26

14

33

38

44

35

29

% Tried to recruit

51

74

68

62

87

66

54

58

65

66

62

78

68

% Part-time

28

39

40

52

34

30

27

36

34

56

29

37

% Full-time

72

61

60

48

66

70

73

64

66

44

71

64

% Temporary

32

33

36

43

41

40

37

36

30

62

20

35

% Permanent

68

67

64

57

59

60

63

64

70

38

80

66

% Recruitment difficulties

71

68

61

48

53

56

95

63

52

59

64

63

62

% Skilled manual

34

34

35

19

21

21

41

17

14

21

23

10

23

% Professional/managerial

36

43

25

25

33

32

56

37

36

38

36

28

34

% Clerical

5

10

32

8

12

14

39

16

14

11

17

8

14

% Semi and unskilled

9

10

10

9

7

14

33

9

8

8

13

29

14

Cashflow

9

-6

9

19

17

15

11

3

26

21

31

14

15

Investment - plant/machinery

17

26

18

24

31

24

41

20

38

26

25

17

23

Investment - training

22

36

31

26

31

35

45

21

36

32

27

24

30

Confidence - turnover

12

52

52

68

66

63

54

49

70

77

71

65

60

Confidence - profitability

-15

39

43

57

55

54

47

39

50

62

60

53

47

37

44

42

37

39

46

40

45

42

37

61

46

22

35

22

30

23

30

25

35

27

26

31

29

% Full capacity Prices

29

% Pay settlements

22

31

20

20

20

21

23

18

20

29

20

26

23

% Raw materials

36

24

16

16

26

19

25

18

21

16

19

6

18

% Financial costs

13

21

16

11

13

13

20

17

14

18

10

17

15

% Other overheads

21

40

35

25

36

47

30

40

36

44

42

42

38

Key SC Scotland NE North East NW North West YH Yorkshire and the Humber EM East Midlands WM West Midlands W Wales NI Northern Ireland EA Eastern SE South East SW South West L London Nat National

16


Scotland Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

22

24

33

31

13

-4

20

3

Domestic orders

18

22

32

29

-2

11

8

13

Export sales

0

17

21

28

Export orders

5

11

24

24

Employment last 3 months

15

15

30

30

-2

-7

1

0

Employment next 3 months

12

14

28

23

-5

-9

0

0

% Tried to recruit

45

49

69

67

36

30

44

51

% Part-time % Full-time % Temporary % Permanent % Recruitment difficulties

66

59

62

66

42

69

33

71

% Skilled manual

38

48

38

46

26

38

21

34

% Professional/managerial

31

36

44

53

16

31

13

36

% Clerical

10

7

14

14

21

6

17

5

% Semi and unskilled

24

18

23

16

5

13

4

9

Cashflow

-5

-3

-24

-10

6

6

6

9

Investment - plant/machinery

11

14

23

15

0

2

12

17

Investment - training

17

10

43

37

2

4

3

22

Confidence - turnover

29

34

48

48

13

7

21

12

Confidence - profitability

14

15

2

22

-12

-19

-5

-15

% Full capacity

70

73

74

76

Prices

24

19

7

-2

43

35

37

29

% Pay settlements

31

27

22

23

42

22

36

22

% Raw materials

65

66

83

78

45

48

41

36

% Financial costs

9

9

4

4

21

19

18

13

% Other overheads

41

32

26

40

17

26

21

21

Number of companies

68

92

53

54

Number of employees

6639

10194

1748

2567

Number of exporters

42

64 Manufacturing

Services 35 30

40

25

% BALANCE

The latest survey results for Scotland are mixed. Overall the manufacturing indicators are in a healthy position and while some service sector results were strong, such as the level of domestic orders, the reported decrease in the domestic sales balance is concerning.

35

20

Although economic recovery continues, it is clear that some fragile economic conditions still persist and that businesses still need more support to help them grow and create jobs. Recent budget announcements were welcomed, however, in order to reduce financial burden on Scottish businesses, we would encourage further action on business rates, air passenger duty and fuel and alcohol duties. The results of our Quarterly Business Survey in mid April will have more detail on specific sectors. Liz Cameron, Chief Executive, Scottish Chambers of Commerce

% BALANCE

30 25

15

20 15 10

10

+31%

+38%

5 0

Domestic Sales

+28%

+40%

Export Sales

National

5 0

+29%

+35% +3%

Domestic Sales

0% Employment Expectations

National Scotland

Scotland

17


North East Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

26

34

10

30

40

35

42

36

Domestic orders

23

40

9

56

33

39

30

33

Export sales

22

49

30

50

14

6

14

8

Export orders

22

47

30

45

12

8

10

7

Employment last 3 months

28

34

10

40

27

17

38

13

Employment next 3 months

50

48

19

70

27

29

25

25

% Tried to recruit

78

72

40

87

60

63

75

74

% Part-time

13

24

14

13

35

32

45

28

% Full-time

88

76

62

87

65

68

71

72

% Temporary

100

35

20

44

38

38

48

32

% Permanent

0

61

38

56

63

62

68

68

% Recruitment difficulties

76

85

49

77

58

56

56

68

% Skilled manual

52

82

40

76

26

32

25

34

% Professional/managerial

36

35

35

42

41

34

38

43

% Clerical

4

3

1

1

10

12

9

10

% Semi and unskilled

12

6

4

3

9

12

8

10

Cashflow

0

11

11

-18

24

6

25

-6

Investment - plant/machinery

17

36

-4

43

20

15

29

26

Investment - training

21

33

8

41

27

26

35

36

Confidence - turnover

59

65

22

75

67

61

65

52

Confidence - profitability

50

61

18

33

60

53

60

39

% Full capacity

13

32

4

39

44

34

45

37

Prices

25

13

20

6

19

22

18

22

% Pay settlements

34

34

13

51

15

21

17

31

% Raw materials

59

42

43

57

21

20

24

24

% Financial costs

28

21

21

11

22

21

23

21

% Other overheads

72

45

48

45

47

42

42

40

Number of companies

32

53

183

199

Number of employees

2343

13031

13783

14833

Number of exporters

25

40

42

54

Mark Stephenson, Policy and Research Manager, North East Chamber of Commerce

18

Manufacturing

Services

50 40

40

% BALANCE

35

30 20

+30%

+38%

+50%

+40%

10

% BALANCE

Businesses have started 2014 in much the same mood as they finished 2013 – which was a very positive year. Confidence is growing for manufacturers’ and is high for service firms; yet what is also clear is that wage and other cost pressures are having an impact on the potential for future profitability. Nevertheless, North East businesses have come a very long way in 12 months and across the board are reporting increased activity within their respective markets as well as a clear desire to take on staff.

30 25 20 15 10

0

Domestic Sales

Export Sales

0

National North East

+36%

+35%

+38% +8%

5

Domestic Sales

Export Sales

National North East


North West Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

28

36

34

44

29

32

33

37

Domestic orders

24

29

32

41

21

28

28

35

Export sales

32

25

32

44

20

20

29

31

Export orders

27

21

15

40

14

15

20

28

Employment last 3 months

21

28

17

36

18

16

20

21

Employment next 3 months

23

36

17

42

21

25

21

30

% Tried to recruit

52

56

72

76

45

46

66

68

% Part-time

20

21

23

17

39

41

40

39

% Full-time

80

79

77

83

61

59

60

61

% Temporary

31

26

40

34

33

31

33

33

% Permanent

69

74

60

66

67

69

67

67

% Recruitment difficulties

61

63

61

66

63

60

64

61

% Skilled manual

52

50

46

43

30

34

30

35

% Professional/managerial

13

18

12

21

28

27

28

25

% Clerical

28

21

36

27

27

30

29

32

% Semi and unskilled

16

20

12

16

16

11

15

10

Cashflow

11

3

19

25

7

7

10

9

Investment - plant/machinery

20

23

24

25

12

13

16

18

Investment - training

19

29

22

29

19

24

24

31

Confidence - turnover

53

56

54

64

50

55

47

52

Confidence - profitability

40

39

45

50

41

46

35

43

% Full capacity

34

37

36

36

36

40

37

44

Prices

25

28

22

30

26

29

28

35

% Pay settlements

24

24

32

28

17

16

19

20

% Raw materials

55

52

55

46

17

14

18

16

% Financial costs

15

14

9

11

14

13

16

16

% Other overheads

40

36

41

40

36

34

42

35

Number of companies

377

365

865

853

Number of employees

32569

93174

81269

183432

Number of exporters

242

241

429

431

Manufacturing

Services 40

50

35

% BALANCE

40

% BALANCE

The Q1 2014 results are very encouraging for the North West. They key domestic and export indicators, for manufacturing and services, have increased and are high levels historically. Domestic sales climbed 10 points for manufacturers and four points for service firms. Export sales returned similar levels of increase. The employment indicators are also positive. And this is especially true for manufacturers; the employment balance for the last three months increased by almost 20 points. Therefore it is no surprise to see all firms are more confident about the next 12 months. But challenges remain and the government must ensure business growth is a priority for the rest of this Parliament.

30 20

+44%

+38%

+44%

+40%

10 0

30 25 20 15 10

+37%

+35%

+31%

+38%

5 0

Domestic Sales

Export Sales

National North West

Domestic Sales

Export Sales

National North West

Christian Spence, Head of Business Intelligence, Greater Manchester Chamber of Commerce

19


Yorkshire & the Humber Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

31

35

32

49

38

33

44

39

Domestic orders

27

35

30

50

33

30

39

36

Export sales

28

33

37

44

33

38

40

46

Export orders

25

28

30

33

30

36

35

46

Employment last 3 months

24

22

17

25

17

16

21

25

Employment next 3 months

28

28

23

31

23

26

29

34

% Tried to recruit

62

49

70

67

50

42

68

62

% Part-time

14

36

13

37

14

42

10

40

% Full-time

86

64

87

63

86

58

90

60

% Temporary

40

40

54

43

35

36

35

36

% Permanent

60

60

46

57

65

64

65

64

% Recruitment difficulties

59

49

69

47

67

47

71

48

% Skilled manual

17

37

24

38

27

20

32

19

% Professional/managerial

18

21

30

23

21

21

24

25

% Clerical

4

5

2

7

9

9

9

8

% Semi and unskilled

10

9

6

8

9

10

9

9

Cashflow

12

14

14

24

14

14

18

19

Investment - plant/machinery

25

22

29

24

19

19

24

24

Investment - training

17

15

21

21

19

18

25

26

Confidence - turnover

66

69

56

73

69

67

70

68

Confidence - profitability

52

56

57

59

59

58

59

57

% Full capacity

40

37

36

38

44

39

48

42

Prices

25

19

22

21

20

20

19

22

% Pay settlements

16

17

28

21

12

13

16

20

% Raw materials

54

47

54

44

19

16

20

16

% Financial costs

14

11

17

12

12

12

13

11

% Other overheads

37

22

36

26

25

25

23

25

Number of companies

369

326

1343

896

Number of employees

32718

51158

183155

81547

Number of exporters

225

196

344

241

Manufacturing

40

40

Mark Goldstone, Head of Business

20 Representation, Leeds Chamber of Commerce

% BALANCE

50

30 20

The economy is recovering and there was much in the Chancellor’s recent budget that should help business growth in the longerterm. But more can be done. The quality of infrastructure continues to hold businesses back from achieving their full potential. This is one area that we would like to see more immediate action from government.

Services

50

% BALANCE

Businesses in Yorkshire & the Humber returned strong results yet again this quarter. The most encouraging results were the increase in the domestic market indicators in the manufacturing sector. Both domestic sales and orders are at historically high levels for manufacturers and are also strong for services firms (although they fell back from the very high levels seen at the end of 2013).

30

+49%

+38%

10 0

Domestic Sales

20

+44%

+40%

Export Sales

+39%

+35%

+46%

+38%

10 0

Domestic Sales

Export Sales

National

National

Yorks & Humber

Yorks & Humber


East Midlands Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

42

33

45

30

38

37

43

42

Domestic orders

32

38

37

25

30

35

36

36

Export sales

34

38

44

7

38

39

48

49

Export orders

32

36

32

8

31

40

44

46

Employment last 3 months

45

24

54

28

16

15

23

23

Employment next 3 months

26

31

22

39

23

30

27

35

% Tried to recruit

58

88

81

93

67

74

80

87

% Part-time

22

49

24

37

47

54

46

52

% Full-time

78

51

76

63

53

46

54

48

% Temporary

36

100

41

34

41

43

41

43

% Permanent

57

0

59

66

59

57

59

57

% Recruitment difficulties

60

44

69

55

85

53

88

53

% Skilled manual

100

34

100

100

29

22

29

21

67

20

100

77

57

28

63

33

% Clerical

9

5

11

3

19

11

17

12

% Semi and unskilled

27

5

23

3

18

6

17

7

% Professional/managerial

Cashflow

16

5

15

-8

7

10

13

17

Investment - plant/machinery

29

31

33

32

20

25

22

31

Investment - training

25

32

32

25

20

25

27

31

Confidence - turnover

67

67

71

61

57

63

62

66

Confidence - profitability

50

50

55

52

45

50

44

55

% Full capacity

36

36

39

26

31

32

43

37

Prices

28

34

24

28

17

29

15

30

% Pay settlements

31

18

36

20

23

20

19

21

% Raw materials

45

56

38

46

22

23

27

26

% Financial costs

20

14

18

16

28

15

31

13

% Other overheads

36

40

33

47

26

42

23

36

Number of companies

236

249

519

539

Number of employees

24512

80506

33334

62144

Number of exporters

136

142

169

193

It is clear the economy is growing at a decent level but there is more the government can do to ensure the recovery is sustainable and lasts for the long-term.

Paul Griffiths, Chief Executive, Northamptonshire Chamber of Commerce

Manufacturing

Services 50

40 35

40

% BALANCE

30

% BALANCE

We saw another impressive set of results from service sector businesses in the East Midlands this quarter. The key balances remain at historically high levels and it is not a surprise to see a noticeable increase in confidence amongst service firms in the region. The manufacturing results were mixed. While all indicators are still far stronger than during the recession, some did experience a fall on the Q4 2013 levels. But overall confidence levels are still strong for the sector and that is encouraging for the future.

25 20 15 10

+30%

+38%

0

+40% +7%

5

Domestic Sales

Export Sales

30 20 10 0

+42%

+35%

Domestic Sales

+49%

+38%

Export Sales

National

National

East Midlands

East Midlands

21


West Midlands Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

33

39

37

44

34

38

43

46

Domestic orders

32

36

33

40

35

35

44

42

Export sales

33

27

33

34

30

31

36

37

Export orders

33

23

39

21

24

33

28

39

Employment last 3 months

24

27

33

38

21

16

28

27

Employment next 3 months

25

37

30

51

25

28

31

34

% Tried to recruit

60

61

70

77

47

45

66

66

% Part-time

20

15

27

16

34

34

34

34

% Full-time

80

85

73

84

66

66

66

66

% Temporary

100

100

47

36

36

40

36

41

% Permanent

0

0

53

64

64

60

64

59

% Recruitment difficulties

57

61

63

67

51

55

52

56

% Skilled manual

49

49

50

44

17

20

18

21

% Professional/managerial

26

28

38

43

33

30

35

32

% Clerical

12

8

15

10

11

15

10

14

% Semi and unskilled

12

16

12

12

14

13

13

14

Cashflow

14

11

31

16

16

12

17

15

Investment - plant/machinery

31

35

41

43

15

21

19

24

Investment - training

27

27

32

32

23

27

28

35

Confidence - turnover

56

68

59

78

62

66

61

63

Confidence - profitability

54

57

59

62

50

56

48

54

% Full capacity

34

35

31

26

41

34

45

39

Prices

25

27

32

31

27

24

28

23

% Pay settlements

21

21

22

25

14

15

20

21

% Raw materials

54

48

62

50

19

17

21

19

% Financial costs

19

12

17

8

18

14

18

13

% Other overheads

50

43

49

36

48

42

52

47

Number of companies

392

343

855

792

Number of employees

45550

60073

210119

132784

Number of exporters

272

241

353

318

Louise Bennett, chief executive of the Coventry and Warwickshire Chamber of Commerce

22

Manufacturing

Services 50

40

40

30

30

20 10 0

% BALANCE

50

% BALANCE

Confidence among companies across this region remains strong, with manufacturers and service sector firms looking ahead to the next 12 months with a spring in their step. The manufacturing sector is particularly buoyant in this region and, as has been said for some time, a thriving manufacturing and engineering sector is crucial in rebalancing the economy. Again, the prospects for new jobs in both manufacturing and services is good and it bodes well for the coming year. That said, it’s important not to be complacent and the Government must do all it can to support employers, especially in their efforts to bring through the next generation of talent.

+44%

+38%

+34%

+40%

20 10

Domestic Sales

Export Sales

0

+46%

+35%

Domestic Sales

+37%

+38%

Export Sales

National

National

West Midlands

West Midlands


Wales Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

38

37

44

50

30

30

25

27

Domestic orders

35

35

41

50

25

33

26

24

Export sales

27

32

39

37

22

26

37

17

Export orders

18

33

12

35

26

26

39

16

Employment last 3 months

28

23

49

23

16

13

24

14

Employment next 3 months

16

34

43

25

17

30

14

26

% Tried to recruit

62

53

72

57

52

37

76

54

% Part-time

21

15

9

8

21

31

24

30

% Full-time

79

85

91

92

79

69

94

70

% Temporary

18

34

9

24

26

39

30

40

% Permanent

82

66

91

44

74

61

84

60

% Recruitment difficulties

76

94

87

97

73

96

74

95

% Skilled manual

11

55

9

72

16

38

19

41

% Professional/managerial

31

42

46

65

43

51

50

56

% Clerical

21

25

31

17

30

33

37

39

% Semi and unskilled

27

41

20

31

19

30

25

33

Cashflow

2

4

28

6

11

12

28

11

Investment - plant/machinery

41

52

40

62

21

33

27

41

Investment - training

39

54

65

57

33

38

43

45

Confidence - turnover

71

63

78

56

57

59

63

54

Confidence - profitability

54

47

63

54

47

51

54

47

% Full capacity

41

37

55

40

41

40

38

46

Prices

23

19

31

11

21

20

22

30

% Pay settlements

20

18

17

15

16

15

23

23

% Raw materials

59

52

42

56

21

20

26

25

% Financial costs

14

17

33

33

17

20

19

20

% Other overheads

36

30

35

26

34

32

43

30

Number of companies

125

147

430

528

Number of employees

7977

8448

12661

16845

Number of exporters

70

71

105

135

Employment indicators are also mixed. There remains pressure in recruiting for certain roles and possible wage inflation where key staff needs to be protected or key skills acquired. Funding by Jobs Growth Wales and Apprenticeship schemes have been seen to be significant factors in the recent improvements.

Manufacturing

Services

50

40 35

40

% BALANCE

30

% BALANCE

The results in Wales this quarter either outperform or are consistent with the rest of the UK. The most encouraging indicators are the strength of the domestic market; with both sales and orders at high levels. Export activity is mixed. Manufacturers’ have reported an increase but for services they have fallen back.

25

30

20

20 10

+50%

+38%

+37%

+40%

15 Wales +27%

+6% 10

+35%

+17%

+38%

5

0

Domestic Sales

Export Sales

0

Domestic Sales

Export Sales

National

National

Wales

Wales

South Wales Chamber of Commerce

23


East of England Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

13

35

18

43

32

55

39

56

Domestic orders

13

35

24

43

31

50

40

52

Export sales

59

53

63

58

67

75

70

73

Export orders

52

56

55

68

65

72

71

68

Employment last 3 months

10

11

7

10

22

25

30

25

Employment next 3 months

26

25

12

26

26

32

34

33

% Tried to recruit

76

59

87

68

50

48

76

65

% Part-time

23

21

17

25

19

36

13

36

% Full-time

77

79

83

75

81

64

87

64

% Temporary

40

30

41

29

33

38

33

36

% Permanent

60

70

59

71

67

62

67

64

% Recruitment difficulties

70

55

77

49

74

51

79

52

7

38

10

31

21

15

24

14

% Professional/managerial

37

19

48

21

31

34

37

36

% Clerical

9

6

10

4

10

13

9

14

% Semi and unskilled

6

11

9

6

10

7

8

8

% Skilled manual

3

9

21

23

10

23

7

26

Investment - plant/machinery

30

35

43

38

19

29

20

38

Investment - training

21

31

12

33

30

35

26

36

Confidence - turnover

47

68

42

68

65

73

73

70

Confidence - profitability

30

64

40

69

48

56

51

50

% Full capacity

27

26

22

25

36

43

45

45

Prices

30

22

31

24

27

33

34

35

% Pay settlements

23

22

38

43

14

17

23

20

% Raw materials

51

49

55

57

20

17

30

21

% Financial costs

21

16

24

22

13

13

12

14

% Other overheads

44

43

34

43

48

39

52

36

Cashflow

Number of companies

73

81

260

286

Number of employees

10933

10024

32773

27412

Number of exporters

69

77

231

268

Businesses in Norfolk and the East of England are feeling quietly confident about the economic future. Norfolk exporters are beating all records, but more businesses need to be encouraged to take that all important step to trading internationally. Support for exports has never been more important.

Manufacturing

Services 80

60

70

50

24

Caroline Williams, Chief Executive Norfolk Chamber of Commerce

% BALANCE

60

% BALANCE

The retail sector in Norwich remains vibrant, with the likes of John Lewis, Norwich reporting an increase in fashion sales and their online sales are also up by 20%. Last year Norwich International Airport grew at the second fastest rate among the top 30 UK airports, with a 17 per cent increase in total passengers numbers to 463,401 during 2013. Overall, we anticipate with strengthened business confidence to see a more robust Norfolk economy.

40

50 40

30

30

20 10 0

+43%

+38%

Domestic Sales

+58% +40%

20 10

Export Sales

0

+56%

+35%

Domestic Sales

+73%

+38%

Export Sales

National

National

East of England

East of England


South East Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

29

44

26

21

36

42

43

40

Domestic orders

26

44

32

33

17

34

34

41

Export sales

57

64

38

51

67

69

66

70

Export orders

59

60

40

49

64

70

66

71

Employment last 3 months

28

22

47

11

18

18

22

25

Employment next 3 months

46

40

37

34

28

31

27

38

% Tried to recruit

69

54

89

47

56

46

76

66

% Part-time

10

20

4

11

13

36

9

34

% Full-time

90

80

96

40

87

64

91

66

% Temporary

37

41

29

38

29

28

31

30

% Permanent

63

59

71

32

71

72

69

70

% Recruitment difficulties

81

58

78

37

68

57

68

59

% Skilled manual

19

44

30

21

14

22

15

21

% Professional/managerial

29

23

27

13

21

34

24

38

% Clerical

17

5

17

2

13

11

13

11

% Semi and unskilled

8

14

6

8

13

10

11

8

3

15

16

17

13

16

15

21

Investment - plant/machinery

26

35

27

40

25

23

31

26

Investment - training

36

27

29

25

21

31

25

32

Confidence - turnover

62

79

71

61

66

68

67

77

Cashflow

Confidence - profitability

38

62

32

39

50

56

49

62

% Full capacity

48

48

59

33

34

38

39

42

Prices

44

32

41

35

24

25

36

27

% Pay settlements

26

10

23

21

18

17

23

29

% Raw materials

54

40

70

35

18

15

20

16

% Financial costs

21

18

18

14

15

16

15

18

% Other overheads

47

39

48

34

47

41

48

44

Number of companies

90

82

411

305

Number of employees

16230

2974

30117

14501

Number of exporters

82

78

336

259

We welcomed many of the measures in the recent budget but the government must do more in areas such as skill, infrastructure and access to finance if the economy is going to continue to grow.

Christina Howell, Head of External Affairs, Thames Valley Chamber of Commerce

Manufacturing

Services

60 80

50

70

% BALANCE

40

60 50

30

40

20 10 0

% BALANCE

The South East results were strong this quarter. In the service sector the most encouraging results were with the export indicators. The net balance for export sales is at +70% and for export orders it is at +71%. Both are very high by historical standards and outperform much of the country. The manufacturing export indicators are also strong and at high levels historically. The fall in the employment balance (although still positive) for the last three months is disappointing and a bit of a surprise. I think we will have to wait until the next quarter before we know if this is going to be a longer term trend.

+21%

+38%

Domestic Sales

+51%

+40%

30 20

Export Sales

National South East

+40%

+35%

+70%

+38%

10 0

Domestic Sales

Export Sales

National South East

25


South West Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

36

37

44

42

37

42

44

46

Domestic orders

32

36

37

16

29

32

37

35

Export sales

23

25

36

20

16

16

20

17

Export orders

20

23

23

18

14

15

19

18

Employment last 3 months

20

24

33

46

20

22

27

29

Employment next 3 months

35

41

56

41

23

33

29

44

% Tried to recruit

73

51

93

82

74

38

86

62

% Part-time

54

53

16

29

69

59

38

56

% Full-time

46

48

84

48

31

41

62

44

% Temporary

56

55

56

50

61

63

60

62

% Permanent

44

45

44

50

39

37

40

38

% Recruitment difficulties

67

61

89

74

47

63

68

64

% Skilled manual

20

31

38

34

17

20

23

23

% Professional/managerial

21

31

27

51

18

35

30

36

% Clerical

6

9

9

5

7

16

10

17

% Semi and unskilled

11

19

15

20

7

14

11

13

Cashflow

14

13

14

28

18

28

25

31

Investment - plant/machinery

24

33

34

19

19

20

29

25

Investment - training

16

18

20

35

16

21

23

27

Confidence - turnover

76

73

86

42

64

72

67

71

Confidence - profitability

64

62

76

26

53

61

52

60

% Full capacity

40

37

46

51

37

34

47

37

Prices

25

22

10

21

25

24

26

26

% Pay settlements

14

18

25

44

12

13

20

20

% Raw materials

45

40

51

49

19

16

19

19

% Financial costs

11

7

5

3

14

9

13

10

43

38

31

31

42

39

43

42

% Other overheads Number of companies

184

182

633

670

Number of employees

10037

6883

27048

46326

Number of exporters

158

162

535

538

Phil Smith, Managing Director, Business West

26

Services

50

50

40

40

% BALANCE

It is not all good news however, as the percentage that tried to recruit fell. This tells us, that despite the recovery so far, there is still work to be done and the government must build on the measures announced in the Budget to ensure that businesses have the confidence to invest, export and expand over the next year.

Manufacturing

% BALANCE

After a year of recovery in 2013, results from the first quarter of this year tell us that the market in the South West remains upbeat as all domestic sales remain strong. Expectations for turnover and profitability in the service sector next year have also increased with more businesses planning to take on staff in the next three months.

30

30

20

20 10 0

+42%

+38%

Domestic Sales

+20%

+40%

Export Sales

+46%

+35%

10 0

+17% Domestic Sales

+38%

Export Sales

National

National

South West

South West


London Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

19

29

34

21

12

13

37

25

Domestic orders

28

39

40

53

8

15

32

25

Export sales

7

50

7

40

22

20

19

24

Export orders

21

45

15

31

25

22

23

33

Employment last 3 months

15

38

11

35

22

9

51

0

Employment next 3 months

32

25

34

25

29

34

38

35

% Tried to recruit

66

45

79

66

56

47

77

78

% Part-time

23

15

22

10

30

25

31

29

% Full-time

77

85

78

90

70

75

69

71

% Temporary

38

30

33

32

32

26

49

20

% Permanent

62

70

64

53

68

74

51

80

% Recruitment difficulties

59

62

51

58

44

54

41

63

% Skilled manual

31

38

32

31

13

15

9

10

% Professional/managerial

28

31

26

30

30

34

27

28

% Clerical

7

0

5

0

4

12

3

8

% Semi and unskilled

10

23

7

29

7

12

10

29

Cashflow

13

31

-1

29

5

4

19

14

Investment - plant/machinery

17

7

14

36

15

13

31

17

Investment - training

24

7

-7

33

27

30

29

24

Confidence - turnover

61

63

76

56

63

62

65

65

Confidence - profitability

46

52

67

48

49

51

54

53

% Full capacity

41

36

42

61

31

34

44

61

Prices

21

25

44

20

23

26

23

31

% Pay settlements

18

13

20

16

18

20

16

26

% Raw materials

33

39

59

24

19

16

21

6

% Financial costs

24

13

24

14

21

19

16

17

% Other overheads

51

45

53

36

53

45

47

42

Number of companies

45

31

99

96

Number of employees

10588

3000

39484

49461

Number of exporters

30

20

67

61

Colin Stanbridge, Chief Executive, London Chamber of Commerce and Industry

Manufacturing

Services

40

40

35

35

30

30

% BALANCE

% BALANCE

At the start of 2014, London businesses are increasingly confident in their own company prospects, as well as the UK’s and London’s economic outlook. Notable gains in several economic indicators, including manufacturers’ cashflow and domestic orders and services export sales, demonstrate a continuation of the positive growth trend seen over the course of 2013. Business confidence for the next 12 months is high, but vulnerabilities remain. London firms continue to suffer from a shortage of sufficiently skilled UK workers, while many businesses are reluctant to export owing to high travel costs. We were pleased to see the Chancellor’s Budget include a commitment to reform APD on long-haul flights, measures to improve UK Export Finance, and an expansion of apprenticeship grants to employers, all of which we had called and campaigned for in our Budget Submission.

25

25

20 15 10

20

+21% +38%

+40%

+40%

5 0

15 10

+25%

+35%

+24%

+38%

5

Domestic Sales

Export Sales

0

Domestic Sales

Export Sales

National

National

London

London

27


Northern Ireland Manufacturing Unweighted

Services

Weighted

Unweighted

Weighted

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Q4 13

Q1 14

Domestic sales

25

24

33

28

21

28

34

39

Domestic orders

21

23

28

30

18

17

32

27

Export Sales

10

13

14

18

2

8

6

12

Export orders

8

13

12

19

1

4

6

9

Employment last 3 months

19

22

30

18

24

12

40

9

Employment next 3 months

24

23

12

22

25

22

39

14

% Tried to recruit

62

46

71

57

78

44

85

58

% Part-time

56

15

36

11

54

23

39

27

% Full-time

44

85

64

89

46

77

61

73

% Temporary

57

47

59

46

49

35

51

37

% Permanent

43

53

41

54

51

65

49

63

% Recruitment difficulties

75

57

84

66

69

55

79

63

% Skilled manual

35

41

39

53

36

15

35

17

% Professional/managerial

21

23

29

41

16

32

32

37

% Clerical

8

5

10

4

9

12

10

16

% Semi and unskilled

6

5

9

3

6

12

5

9

Cashflow

-6

-3

-12

0

1

1

24

3

Investment - plant/machinery

26

34

42

34

12

16

10

20

Investment - training

22

21

37

20

18

17

16

21

Confidence - turnover

56

46

61

45

46

47

54

49

Confidence - profitability

41

29

44

34

29

34

23

39

% Full capacity

33

38

38

40

41

38

40

40

Prices

22

25

38

17

17

20

13

25

% Pay settlements

16

19

17

19

23

21

40

18

% Raw materials

74

63

84

67

23

20

37

18

% Financial costs

21

14

20

11

20

16

18

17

% Other overheads

38

46

38

55

45

46

55

40

Number of companies

102

95

248

215

Number of employees

10681

8407

9164

11092

Number of exporters

98

94

212

210

Manufacturing

Services 40

35

35

30

30

25

More support for exporters is just one way the government can do more to ensure the recovery is a sustainable one. We have campaigned strongly about the negative message Air Passenger Duty is sending exporters and it was positive to see action taken in the Chancellor’s recent budget. However, we would like this to have gone much further, particularly given the impact of APD on Northern Ireland businesses.

28

Ann McGregor, Chief Executive, Northern Ireland Chamber of Commerce

25

20 15 10

+28%

+38%

5 0

% BALANCE

40

% BALANCE

The Northern Ireland results for this quarter indicate steady growth in the economy for the first three months of this year. Most of the key domestic indicators are at a similar level to where they were at in Q4 2013. The most welcome results are in the export indicators. These indicators have been very low for a number of quarters so it is good to see an improvement on this occasion.

Domestic Sales

+40% +18% Export Sales

20 15

+39%

+38%

+35%

10

+12%

5 0

Domestic Sales

Export Sales

National

National

Northern Ireland

Northern Ireland


Further Enquiries

This report has been prepared by the British Chambers of Commerce. Further information about any of the region and nation surveys may be obtained from the following: National Coordinator: Tom Nolan, British Chambers of Commerce, 65 Petty France, London SW1H 9EU (020 7654 5800) Scotland Coordinator: Dominic Mellan, Scottish Chambers of Commerce (0141 204 8366) North East Coordinator: Mark Stephenson, North East Chamber of Commerce (0191 3861133) North West Coordinator: Christian Spence, Greater Manchester Chamber of Commerce (0161 237 4045): Contributing Chambers: St Helens, Liverpool, North & West Lancashire, East Lancashire, Greater Manchester, Cumbria, South Cheshire Yorkshire & the Humber Coordinator: Tom Nolan (BCC); Contributing Chambers: Barnsley & Rotherham, Doncaster, Sheffield, Hull & Humber, West and North Yorkshire, and Mid Yorkshire Chambers

East Midlands Coordinator: Max Boden, Leicestershire Chamber of Commerce, (0116 204 6606): Contributing Chambers: Derby, Nottinghamshire & Leicestershire, Northamptonshire, Lincolnshire, West Midlands Coordinator: David Bharier, Birmingham Chamber of Commerce (0121 607 1814): Contributing Chambers: Coventry & Warwickshire, Birmingham, Black Country, Staffordshire, Shropshire, Hereford & Worcestershire Wales Coordinator: Graham Morgan, South Wales Chamber of Commerce (01633 242721); Contributing Chambers: South Wales, West Cheshire and North Wales

South East Coordinator: Tom Nolan (BCC); Contributing Chambers: Kent Invicta, Hampshire, Surrey, Sussex, Isle of Wight, Milton Keynes, Thames Valley and Kent Channel Chambers South West Coordinator: Tom Nolan (BCC); Contributing Chambers: Business West, Dorset, Cornwall, Somerset and Plymouth Chambers London Coordinator: Silviya Barrett, London Chamber Of Commerce and Industry, (020 7248 4444) Northern Ireland Coordinator: Oonagh O’Reilly (NICC) Northern Ireland Chamber of Commerce (028 9024 4113)

Eastern Coordinator: Tom Nolan; Contributing Chambers: Bedfordshire, Cambridgeshire, Essex, Hertfordshire, Norfolk and Suffolk Chambers

29


BRITISH CHAMBERS OF COMMERCE 65 PETTY FRANCE LONDON SW1H 9EU UNITED KINGDOM

T +44 (0)20 7654 5800 www.britishchambers.org.uk www.economicsurvey.org.uk Be part of Britain’s biggest and most influential business survey: #joinyourchamber


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