Businesses across Greater Birmingham are rallying against the challenges posed by geopolitical tensions and economic uncertainty, according to a newly released report.
Greater Birmingham Chambers of Commerce's Quarterly Business Report for the third quarter reveals a significant number of firms are predicting an increase in turnover and profitability over the next 12 months.
According to the report, 70 per cent of businesses surveyed said they expected an uplift in turnover while 77 per cent were forecasting a boost in profitability.
And while the number of firms reporting an increase in domestic (39 per cent) and export sales (23 per cent) fell from the last quarter, both metrics remained positive overall and were in line with the figures seen at the end of 2022.
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Forty-four per cent of firms reported their domestic sales volumes had remained constant, according to the chamber - 11 per cent higher than the previous quarter. Recruitment remains a major challenge for businesses.
The report highlights that 60 per cent of firms attempted to recruit, of which 72 per cent had difficulty doing so (up by four per cent from the second quarter).
The biggest concerns for businesses over the coming months were inflation (30 per cent), business rates (20 per cent), interest rates (15 per cent), competition (17 per cent), exchange rates (6 per cent) and taxation (12 per cent).
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Henrietta Brealey, chief executive of Greater Birmingham Chambers of Commerce, said: "Increased geopolitical tensions and economic uncertainty continue to dominate the external picture for businesses.
"Despite this, businesses in Greater Birmingham remain positive with the balance score for businesses predicting an increase in turnover and profitability over the coming 12 months remaining strong. Behind this confidence there were some notable changes this quarter.
"There was a fall in the percentage of businesses reporting an increase in domestic sales and export sales. However, balance scores for these metrics remained positive overall and in line with figures last seen towards the end of 2022.
"Investment intentions also remain relatively weak with the balance score for capex hovering at 51, perhaps reflecting the impact of the uncertain environment and continuing concerns regarding interest rates and inflation noted elsewhere in this quarter's survey."
Professor Julian Beer, deputy vice-chancellor at Birmingham City University which sponsored the report, added: "Echoing a trend from previous quarterly surveys, the operating conditions for businesses remain challenging.
"At 6.7 per cent, 海角视频 inflation remains high while socio-economic conditions on the global stage continue to be precarious. Despite this, however, the analysis of findings indicates a level of constancy or stability across a number of business areas."