The results from Quarter 3 revealed that firms in the manufacturing sector were experiencing recruitment difficulties. In the services sector, Norfolk firms reported an increase in domestic and export sales. Meanwhile in the manufacturing sector, the balance of firms reporting an increase in export sales and orders also fell from the last quarter. Uncertainty over future trading conditions is continued to act as a brake on business investment in both the manufacturing and services sectors.
The Chancellor delivered his budget last week and, whilst there was some good news for the high street, overall announcements on schemes and incentives specific to our region, were in short supply.
Is economic uncertainty impacting on your business; have you seen an increase in sales and orders; are you having recruit difficulties; or facing supply chain challenges, it’s more important than ever that as many Norfolk businesses as possible complete the survey.
Now we are in the fourth quarter – how are Norfolk businesses reacting to the current economic climate? Today (Tuesday 06 November 2018) is the first day of the fieldwork period for the Q4 Quarterly Economic Survey (QES).
The QES is the largest independent business survey in the UK and is used by both the Bank of England and the Chancellor of the Exchequer to plan the future of the UK economy. It is also closely watched by the International Monetary Fund.
You can have your say by completing the QES online NOW. It takes less than 3 minutes. The completion deadline for this survey is midnight on Tuesday 27 November 2018. The Q4 results will be published week commencing 02 January 2019.
Key Norfolk findings in the Q3 2018 survey:
Norfolk Manufacturing sector:
- The balance of firms reporting increased domestic sales remained static at +35, while those reporting improved domestic orders fell from +35 to +30
- The balance of firms reporting improved export sales fell six points, from +44to +38, while the balance of those reporting improved export orders fell from +31 to +27
- The percentage of firms attempting to recruit fell from 85% to 75%, Of these, 100% reported recruitment difficulties.
- The balance of firms increasing investment in plant/machinery remained static, whilst those investing in training rose drastically from +5 to +30
Norfolk Services sector:
- The balance of firms reporting increased domestic sales fell sharply, from +34 to +17, while those reporting improved domestic orders fell from +28 to +12
- The balance of firms reporting improved export sales also fell, from +35 to +14, while those reporting improved export orders fell from +22 to +10
- The balance of firms expecting to raise prices over the next three months increased substantially from +19 to +42
- The percentage of firms looking to recruit fell from 82% to 73%. Of these, 84% reported difficulties
