Companies in the North West reported lower confidence in their own business prospects month-on-month, according to the latest Business Barometer from Lloyds

Business confidence in the North West fell nine points during June to 29%, according to the latest Business Barometer from Lloyds Bank Commercial Banking.

Companies in the North West reported lower confidence in their own business prospects month-on-month, down six points to 25%. When taken alongside their optimism in the economy, down 10 points to 34%, this gives a headline confidence reading of 29%.

The Business Barometer questions 1,200 businesses monthly and provides early signals about UK economic trends both regionally and nationwide. When it comes to jobs, a net balance of 15% of businesses in the region expect to increase staff levels over the next year, up two points on last month.

Overall UK business confidence remained steady month-on-month at 33%. Firms reported a small increase in their business prospects up two points to 30%, the highest reading since September 2020. Confidence in the economy dipped marginally by two points to 36%.

Across the UK all regions and nations reported positive confidence readings for the third consecutive month. Businesses in Scotland (up 27 points to 42%), London (up 17 points to 41%) and the East of England (up 10 points to 36%) reported the highest increases in overall confidence.

While confidence remained positive, firms in eight regions reported a month-on-month drop. Alongside the North West, the biggest decreases were seen in Yorkshire and Humber (down 14 points to 30%), the West Midlands (down 12 points to 29%), and East Midlands (down nine points to 31%).

Martyn Kendrick, regional director for the North West at Lloyds Bank Commercial Banking, said: “With widespread concern over the rise of the Delta variant across areas like Greater Manchester, it’s unsurprising to see confidence dip this month.

“However, the North West has been one of the most resilient regions throughout this pandemic and it’s positive to see firms taking steps towards growth with plans to increase staffing levels over the next 12 months.

As the vaccine rollout continues at pace and with restrictions set to ease again next month, we hope to see confidence levels rise. Whatever the coming months may bring, we’ll remain by the side of local businesses, providing the support they need to recover and grow.”