Optimism boost as growth across region picks up

GROWTH has picked up in the North East and firms are feeling more optimistic, a new business survey suggests.

- GRAEME WHITFIELD

The latest Growth Tracker data from NatWest shows increasing growth in the region's private sector output, though lingering nervousness on the state of the economy meant hiring activity fell for the eighth month running.

The Tracker, which measures the combined output of the region's manufacturing and service sectors, came in at 51.4 in July, up from 51.0 in June and above the 50 level that denotes growth in the economy. Confidence levels rose to their highest for four months, though they were the lowest in England.

July saw a sustained increase in input prices across the North East, extending a sequence that began in 2020, but firms passed higher operating expenses to customers, the survey found.