Confidence of firms in region grows

North East firms are increasingly upbeat about the future

- TOM KEIGHLEY Business writer

CONFIDENCE among North East businesses has risen, driven by more positive views of the wider economy.

But the outlook on their own prospects fell in July, new research shows.

Data in the latest Business Barometer from Lloyds shows overall North East business confidence rose 19 points to 73%, compared with 54% in June.

The reading is the second highest of any UK region or nation in July, following only Wales at 76%.

Sentiment in firm's own prospects was down two points, month-onmonth, to 77%, while optimism in the wider economy grew 41 points to 69%.

The majority of firms surveyed (81%) in the region said they expect to increase staff levels in the next year - a 27-point improvement on June’s reading.