In the previous quarter, Norfolk businesses reported a mixed picture. Norfolk manufacturers enjoyed improved domestic and export sales compared with the previous quarter and many benefitting from sterling’s recent fall.
Meanwhile, the balance of Norfolk’s service sector firms reported improved domestic but their export sales was at a low level. Uncertainty following the vote to leave the European Union had led many Norfolk businesses to lower their expectations for hiring, turnover, and investment in plant, machinery, and training.
Overall the Q3 survey results suggested that the Norfolk and UK economy was still growing – albeit at a lower level than before the EU referendum – which supported the BCC’s forecast for growth of 1% in 2017.
So how well is the Norfolk business community doing now? Today (Monday 07 November) is the first day of the fieldwork period for the Q4 Quarterly Economic Survey (QES). It is more important than ever that as many Norfolk businesses as possible complete the survey.
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, which takes less than 3 minutes. The completion deadline for this survey is midnight on Monday 28 November 2016.
Some key Norfolk findings from the Q3 2016 survey:
- Overall, the figures for both the Norfolk manufacturing and services firms indicate growth, but at a slower pace than before the referendum
- The balance of Norfolk firms reporting an increase in advance export orders is +13, up from 0. One factor may be the fall in sterling, which has made some UK manufacturers more competitive.
- Fewer firms in both sectors expect to take on staff in the next quarter. For services the balance for firms (+18, down 5) is the lowest since Q2 2013
- The balance of Norfolk services firms reporting improved domestic sales fell sharply to +10 from +21, while the advance orders balance fell from +19 to +0 – indicating a significant slowing of growth. This was reflected in the results for the East of England and nationally
- Norfolk firms in both sectors have reported that the exchange rate is a greater concern to their business than three months ago, with 38% of services businesses (up from 12%) and 68% of manufacturers (up from 19%).
