Business activity rose across the º£½ÇÊÓƵ in April thanks to the lifting of lockdown restrictions as people grew more confident about their prospects for the rest of the year, the latest NatWest PMI survey has revealed.
The PMI Business Activity Index for April showed job markets also showed signs of recovery - though businesses faced growing cost pressure.
The PMI figures track the monthly change in the output of goods and services across the private sector. Any figure over 50 shows growth, with higher figures signalling faster expansion.
For the first time in seven months, output rose across all 12 regions of the º£½ÇÊÓƵ., thanks to a return to growth in Northern Ireland which saw a Business Activity Index ranking of 55.5.
Growth in April was led by the West Midlands,with an index ranking of 65.9, followed by Yorkshire & Humber (64.3).
The lowest readings were recorded in the North East (55.2) and Scotland (55.4), though those rates were still historically strong.
Labour market trends also showed improvement in April as 11 of the 12 monitored regions reported higher employment, up from 10 in March.
Most areas saw a faster rate of job creation, with the North West and Yorkshire & Humber performing most strongly. Staffing numbers fell in Wales, though only marginally.
Across the country businesses were strongly confident about the outlook for the next 12 months. Yorkshire & Humber was the most upbeat region, with with the South East and London close behind.
But cost pressures on businesses increased across the º£½ÇÊÓƵ, with rates of cost inflation above average in all regions. London saw the slowest rise in costs.
Sebastian Burnside, NatWest Chief Economist, said: ““With Northern Ireland returning to growth in April thanks to the easing of COVID-19 restrictions, the picture across the º£½ÇÊÓƵ is now one of a broad-based recovery in business activity.
"What's more, rates of growth were historically strong across the board, with firms in all areas seeing demand strengthening as confidence improved and parts of the economy reopened.
"There is a general sense of optimism among º£½ÇÊÓƵ businesses towards future activity, which is underlined by a continued improvement across almost all local labour markets as more businesses start to hire again.
"However, with the upturns in activity and employment comes a further increase in cost pressures on businesses. Input prices are rising much faster than normal across all regions of the º£½ÇÊÓƵ, but particularly in Northern Ireland and the North East."
