Companies in the South West cut back on hiring in December amid economic uncertainty but were still the most optimistic they have been since last summer, new research has revealed.
Following two months of meagre expansion in employment, the region's private sector firms pared back staffing levels as they faced falling demand for business, the report by NatWest found. However, business leaders' optimism levels lifted as companies planned for investment and hopes of a revival in demand underpinned growth expectations.
The headline NatWest 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 – stood at 47.5 in December, up from 45.3 in November.
