Latest monthly Business Barometer from Lloyds shows a rise in business confidence across the North West in July despite significant economic headwinds. Tony McDonough reports
Businesses in the North West are reporting higher confidence in their own trading outlook month-on-month despite global uncertainty and rising employment costs.
According to the latest monthly Business Barometer from Lloyds business confidence in the North West rose six points during July to 49%. It takes confidence levels back above the UK average.
Companies in the North West reported higher confidence in their own trading outlook month-on-month, up four points at 58%. When taken alongside their optimism in the economy, up seven points at 40%, this gives a headline confidence reading of 49% (against 43% in June).
North West firms’ confidence in their own trading outlook was driven by an expectation of winning new clients or contracts (66%), while confidence in the wider economy was driven by a stronger market demand (56%).
Business confidence in the region now sits slightly above its 12-month average of 47%, with its highest figure of 58% in February 2026.
Looking ahead to the next six months, North West businesses identified their top target areas for growth as evolving their offering, for example by introducing new products or services (61%), entering new markets (45%), and investing in their team, for example through training (41%).
Chris Whittle, area director in the North West at Lloyds, said: “It’s encouraging news that business confidence is up in the North West this month.
“Summer can always be a busy time of year for local businesses and it’s great to see they have clear priorities in mind for the coming months, whether that’s introducing new services or entering new markets.
“As firms look to capitalise on this renewed confidence, we’ll be there to provide the support they need to help them pursue new opportunities for growth.”