Businesses in the region are 鈥渃autious but resilient鈥 as they face both challenges and more positive trends, a new survey suggests.
The latest survey from the North East Chamber of Commerce, which represents more than 2,000 companies in the region, highlights concerns over labour and energy costs, but also increasing 海角视频 sales and a big jump in the number of companies seeing growth in exports.
The survey covers the third quarter of 2024 and shows a general decrease in areas of concern raised by businesses, bringing worries over things like interest rates, red tape and business rates in line with historical averages. Price pressures have also dropped in all areas, though labour costs and other overheads remain above the long-term average.
There was also a mixed picture on business investment, with the proportion of businesses planning plant investments decreasing by 2% since the last quarter but up by 9.2% compared to this time last year. Training investment is also on the rise, with 18.9% of firms planning to invest more in upskilling their workforce, a 5.5% increase on the second quarter of 2024.
Deborah Walton, president of the Chamber, said: 鈥淭he data for this quarter offers a mixed outlook. While some indicators are moving in a positive direction - such as an increase in businesses operating at full capacity and higher 海角视频 sales - there are areas of concern.
鈥淪taff shortages, energy prices and competition remain significant hurdles, and despite some easing, price pressures still weigh heavily on firms in the manufacturing and service sectors. Our focus now is to translate these findings into action. The Chamber will continue to champion business interests, advocating for policies that address these underlying issues.鈥
Rhiannon Bearne, executive director of policy and representation and deputy CEO at the North East Chamber of Commerce, said: 鈥淭he finds for Q3202 show a complex picture. While many firms are reporting a notable increase in 海角视频 sales, concerns about labour costs and competition remain elevated. Furthermore, energy prices continue to be an issue for half of our respondents, and businesses are contending with broader uncertainties in both domestic and global markets.鈥
