Business confidence in London rose 11 points during June to 64%, according to the latest Business Barometer from Lloyds.
Companies in London reported higher confidence in their own business prospects month-on-month, up 13 points at 70%. When taken alongside their optimism in the economy,
up 11 points to 59%, this gives a headline confidence reading of 64% (vs. 53% in May).
A net balance of 45% of businesses in the region also expect to increase staff levels over the next year, up five points on last month.
Looking ahead to the next six months, London businesses identified their top target areas for growth as investing in their team, for example through training (55%), entering
new markets (49%) and introducing new technology, such as automation or AI (46%).
The Business Barometer, which surveys 1,200 businesses monthly and which has been running since 2002, provides early signals about UK economic trends both regionally and
nationwide.
National picture
Overall, UK business confidence increased one point in June to 51%.
Firms’ optimism in their own trading prospects strengthened one point to 57%, while their confidence in the wider economy also rose one point to 45%.
Wales was the most confident UK nation or region in June (67%), followed by London (64%).
Sector Highlights
Business confidence in the manufacturing and retail sectors saw significant gains this month, with 12-point rises in both sectors to 52%. For manufacturing, this demonstrates
an 11-month high.
Construction and services however saw decreases in confidence, with falls by five points and four points respectively.
Kirsty Sadler, regional director for London at Lloyds, said:
“It’s fantastic to see London business confidence continue to rise.
“This optimism sits alongside clear plans for future growth – whether that’s hiring more staff, or investing in technology or expansion. We remain committed to supporting firms as they take those next steps.”
