Optimistic businesses recruiting at record high

A raft of reports on the outlook for companies in 2018 found that many expect trading conditions to be better than last year. Manufacturers’ organisation the EEF said bosses believed a

growing global economy will sustain new orders in the coming months, although many expected a deteriora- tion in the UK. Chief executive Stephen Phipson said: “Manufacturers left 2017 in an

upbeat mood and are set to outpace the rest of the economy again this year as the growth in global trade continues to gain momentum. “That is not to say everything in the 2018 garden is

rosy, however, as there are plenty of factors that could puncture this positive picture. “Chief among these is Brexit which has put the investment outlook on a knife edge. “As such, it is

essential that the Government gets a transition deal as a matter of urgency and sets out with utmost clarity what kind of final deal it is looking for. “In tandem with this it also needs to

crack on apace with its Industrial Strategy. This will be vital in providing manufacturers with the confidence to invest in strategies to improve their productivity and enter new markets.”

Research by Lloyds Bank found that business confidence was “steady”, with investment and hiring intentions set to increase despite wider concerns about the economy. A survey of 1,500 firms

found that one in four cited weaker demand at home and abroad as their biggest risk in the coming months. Gareth Oakley, of Lloyds Banking Group said “Despite market uncertainty and global

political turbulence, businesses are still upbeat. FRENCH BUSINESS OWNER FEARS BREXIT COULD AFFECT LIVELIHOODS “Many are looking to boost their investment and staff numbers which is very

encouraging, even though challenges remain in recruiting skilled labour. “While the Brexit negotiations continue, businesses are focused on short-term threats, including managing higher

costs and maintaining positive cash flow, so that they can prepare for whatever 2018 brings.” A separate report by accountants BDO LLP said businesses were more optimistic about 2018,

suggesting increased employment.