Business confidence in the South East rose one point during June to 37%, according to the latest Business Barometer from Lloyds.
Companies in the region reported higher confidence in their own business prospects month-on-month, up five points at 51%. When taken alongside their optimism in the economy, down four points to 22%, this gives a headline confidence reading of 37% (vs 36% in May).
Looking ahead to the next six months, South East businesses identified their top target areas for growth as investing in their team, for example by investing in training (42%), introducing new technology, such as AI or automation (34%), and entering new markets (32%).
Nationally, UK business confidence rose by one point in June to 51%. Firms’ outlook on their own trading prospects improved by one point to 57%, while confidence in the wider economy also increased by one point to 45%.
Business confidence in the manufacturing and retail sectors saw significant gains this month, with 12-point rises in both sectors to 52%. For manufacturing, this demonstrates an 11-month high. Construction and services, however, saw decreases in confidence, with falls by five points and four points respectively.
Amanda Dorel, regional director for the South East at Lloyds, said: “It’s particularly good to see that South East firms’ trading confidence has strengthened, even as their confidence in the wider economy dips.
“This reflects the hard work that local businesses have done to build their resilience and secure new growth opportunities. We’ll be continuing to help them capitalise on these opportunities as they look ahead to their next steps.”
