North East business confidence at a high, two separate surveys reveal

Business confidence is at a high in the North East with companies expressing positivity for future growth and job creation, two separate surveys have shown.

The United Growth Report by accountancy group Sumer and The Entrepreneurs Network found that North East SMEs are among the most positive across the UK in terms of their future growth and job creation prospects, although results showed companies are not immune to economic challenges facing the rest of the country.

The research was carried out to reveal the challenges and opportunities facing UK business owners and entrepreneurs, with more than four-fifths of North East business owners (84%) saying they felt their region had a strong business community, the highest figure recorded in any of the 12 UK regions and nations. A total of 78% also said they expected to grow their turnover in the coming year, matched only by Northern Ireland SMEs, while 74% said they expect to hire more staff over the coming year.

On the downside, however, more than two thirds (68%) said they had come close to closing their businesses in the last six months, a figure only behind Northern Ireland and well above the 44% national average. A very high proportion, 92%, also believe that economic inequality between the regions of the UK was a problem, especially with regard to under-investment, skills shortages and potential economic stagnation, while taxes and regulations were also singled out as the main obstacles to growth.

Stephen Slater,