Chamber Survey Breaks Record

A record-breaking 854 businesses have responded to Greater Manchester Chamber of Commerce’s latest Quarterly Economic Survey (QES).

The survey, which received the highest ever number of responses this quarter, found increased confidence and continued growth in both the manufacturing and service sectors.

Once again, exports are supporting most of the growth in Greater Manchester, with those businesses trading overseas more confident than those operating solely in the domestic market.

The Eurozone crisis does not appear to be having the downward impact on overseas demand that was seen in the latter half of 2011. Also the weakness of the Euro does not seem to have affected the demand for exports.

Dr Brian Sloan, Chief Economist at Greater Manchester Chamber of Commerce, said: “This quarter’s results fly in the face of the daily media headlines of the impending Armageddon. Businesses understand the environment we are in and are very much getting on with business.

“Overall the results are very pleasing, given the pressures both at home and abroad, and suggest continued growth moving forward. However, there are some signs of weakness, with employment failing to reach the anticipated levels of quarter one and investment in plant and machinery falling back.”

The survey shows manufacturers have continued to enjoy growth and confidence. Construction firms are still seeing falling demand across Greater Manchester but confidence in this sector has increased.

The service sector has seen increased demand in both the overseas and domestic markets. Confidence in the sector has grown, but businesses are not recruiting the numbers of people expected.

Brian said: “Despite the confidence, firms are not fully committed to employing people at this time. Recruitment expectations for the coming quarter are slightly ahead of this quarter’s. However, we have regularly seen overly optimistic intentions to recruit by service sector businesses since end of the recession.”

The QES results were officially released during the Chamber’s Council Meeting at HSBC Spinningfields in Manchester.

The Chamber’s QES results form the largest part of the national British Chambers of Commerce’s QES report, which is used by key decision-makers in the Bank of England and the Treasury.