28218 SCC_FOCUS Summer pages LOW RES

QES ANALYSIS
THE MAGAZINE FOR BUSINESS LEADERS, MOVERS & SHAKERS
23
View from
Sara Williams
Staffordshire Chambers’
Chief Executive
In the manufacturing sector, the
proportion of firms reporting
improved export sales and orders rose
compared to the previous quarter.
The indicators for domestic sales,
employment expectations, recruitment
and confidence in turnover across
both sectors are higher than in
the previous quarter showing that,
despite previous uncertainty around
Brexit, businesses are getting on with
the job.
Despite both sectors showing
improvements in cashflow, the
manufacturing sector reported that
they expect the cashflow to decrease.
The proportion of firms confident that
turnover and profitability will improve
in the next quarter increased from
Q4 of 2017, however firms continue to
report significant reductions in long
term investment plans due to long
term Brexit uncertainties.
The results emphasise the need to
kickstart the economy by addressing
the barriers to growth – in particular
the need for the Government to
engage with businesses on the future
Sara Williams, Staffordshire
Chambers of Commerce
Your business, your voice, your chamber!
of international trade – which is
hindering the ability of companies to
invest in their long term plans.
Our local and national growth
in the UK economy is due to the
favourable global trading conditions
our exporters are trading in and not
an increase in domestic demand.
Once again Brexit uncertainties,
recruitment difficulties and price
pressures remain principle concerns
for businesses across Staffordshire,
even if short-term confidence levels
remain resilient.
At a time when firms face increased
up-front costs, an apprenticeship
system in crisis, road and rail
infrastructure operating above
capacity, mobile phone and
broadband ‘not-spots’ multiplying,
and businesses not being able
to recruit, it’s obvious that the
key to improved productivity and
competitiveness lies in getting the
basics right. Sorting these business
fundamentals must move to the top
of the agenda - and fast.
Justin Urquhart Stewart, Cofounder
at Seven Investment
Management
QES analysis
The latest results show
that many of you are
feeling rather positive,
given every single score is
leaning towards an uptick
across all the leading
business indicators, both
in terms of the last three
months’ review and the
immediate outlook. I can’t
commend this confidence
enough.
The findings show that
exports and domestic
sales are doing well,
with manufacturing in
particularly putting in a
stellar performance. These
have also had a clear
impact on employment
growth. Meanwhile, the
results for Q1 2018 seem
to be fuelling growth for
the coming quarter. So
further improvements
are forecast for cashflow,
business investment (both
in machinery and training)
and are also feeding
through to confidence.
Staffordshire Chambers is here to support your businesses -
Get in touch with a member of the Chambers' team on 01782 202222.