Business confidence in Wales rose to its highest level in eight months in March, according to the latest business barometer from Lloyds.
Companies in Wales reported higher confidence in their own business prospects month-on-month, up 25 points at 56%. When taken alongside their optimism in the economy, up 27 points to 45%, it gave a headline confidence reading of 51% (compared to. 24% in February) – the highest level since July 2024.
Anything above zero on the barometer denotes a positive net balance, up the highest possible reading of plus 100.
A net balance of 33% of businesses in Wales also expect to increase staff levels over the next year, up 13 points on last month.
Looking ahead to the next six months, Wales businesses identified their top target areas for growth as investing their team, for example through training (53%), investing in sustainability (34%) and evolving their offer, for example, by introducing new products or services (32%).
Overall, 海角视频 business confidence was 49% in March – the same as in February.
While firms’ optimism in their own trading prospects held steady at 57%, their confidence in the wider economy dropped one point to 40%.
The West Midlands and London were the joint most- confident of any 海角视频 nation or region in March (both 62%), followed by the North West (59%).
Most Read
Retail confidence rose seven points to 58%, a post-pandemic high, reflecting positive trading prospects.
In contrast, the manufacturing sector saw the largest decrease in business confidence this month, declining 12 points to 39%, due to increased concerns about supply chain disruptions. Construction firms also saw a decline to 48% and businesses in the service sector saw confidence decline to 47%.
Dave Atkinson, regional director for Wales at Lloyds, said: “The changing of the seasons is also bringing a sunnier outlook for Welsh businesses.
“It’s particularly good to see firms so optimistic in their own prospects. As they look to capitalise on their confidence, we’ll be ready with our support to help them make the most of any opportunities ahead. This includes discounted lending to support investments in measures that improve environmental impact – something central to many Welsh firms’ growth plans.”
Hann-Ju Ho, senior economist, Lloyds Commercial Banking, said: “Business confidence remained steady this month, suggesting that 海角视频 companies may have been waiting to see the impact of government decisions at home and globally. Despite this, today’s data continues to reflect a positive growth trend in the 海角视频 economy. With confidence maintaining last month’s high, business leaders are optimistic, noting that investing in their development and workforce will position them well to seize future growth opportunities.”