Growth returns to East Mids, says chamber survey
The East Midlands economy is experiencing “fresh growth”, according to the Derbyshire and Nottinghamshire Chamber of Commerce’s latest quarterly economic survey. The survey suggested that despite increases in inflation and VAT, the economy across the two counties returned to growth in the first quarter of 2011.
The survey revealed that UK sales were higher in both counties and in both the manufacturing and service sectors.
George Cowcher, chief executive of Derbyshire and Nottinghamshire Chamber of Commerce, said: “Businesses performed much more positively in the first quarter of 2011. Even with cuts in public spending, rapidly rising fuel prices and a hike in VAT to contend with, many businesses have reported increasing sales and orders, improved cashflow and rising employment, although it is interesting to note that the majority of firms are still not operating at full capacity.”
Manufacturers continue to drive forward the regional economy, said Cowcher, with UK and export sales balances at four-year highs.
He added: “With future orders and investment plans being less positive, sustaining this growth is essential if we are to rebalance the economy.”
The survey also implied that employment levels were bouncing back from their fall in the previous quarter, with the end of temporary contracts and the return of workers to the job market reducing the number of firms reporting recruitment difficulties.
