Wednesday 08th July 2020
Home Accountants Region's underylying growth stays strong in December

Region's underylying growth stays strong in December

E-mail Print PDF

New business, output, new business and employment in the East of England private sector continued to grow in December, albeit at a slower rate, according to a survey of purchasing managers. The Lloyds Bank East of England business activity index dipped from November’s 57.6 to 56.8 although the region's economy still grew at a faster rate than the UK average, helped by new business and client wins.

Growth in new work slowed in December as demand for manufacturing goods rose marginally and total new work rose at the slowest pace since last April. But the survey shows new business has now expanded for 37 months running.  The survey says the rate of job creation at firms was solid, despite easing to the weakest in nearly one-and-a-half years. Backlogs of work fell for the fourth month running.

Meanwhile, input costs in the East of England private sector rose for a second month running in December although the rate of inflation was marginal. Firms continued to lower their average charges during the month.

Steve Elsom, area director for SME Banking in East England, said: “The slight dip in the headline index should be of little concern for companies in the East of England, as underlying growth remains strong. Levels of new business rose further and overall companies have increased the size of their workforces. This indicates that growth should be sustained at the start of 2016.”

Last Updated ( Monday, 11 January 2016 17:08 )