Confidence among South West firms for the year ahead has reached its highest level for eight months according to a new Natwest report, despite output and new work continuing to decline at the start of the year.
The bank’s South West PMI Business Activity Index – a seasonally adjusted index that measures the month-on-month change in the combined output of the region’s manufacturing and service sectors - signalled a sixth successive monthly decline in activity.
Bosses frequently attributed the drop to weaker demand conditions, with new orders are also falling at a solid pace. The data pointed to a sustained fall in new work placed with private sector firms during January. Those surveyed mentioned clients had looked to cut back or delay spending due to rising costs and uncertainty over the outlook.
