Businesses remain buoyant despite ongoing challenges - Chambers survey
Business confidence across the West Midlands remained constant during the second quarter of 2022 - despite recruitment difficulties and price pressures taking their toll on firms.
That 's according to a new economic snapshot published today by Greater Birmingham Chambers of Commerce, in partnership with the Black Country and Coventry & Warwickshire Chambers of Commerce.
Data from the West Midlands Quarterly Economic Snapshot for Q2 revealed that 46 per cent of firms were expecting an increase in profits over the next 12 months.
While this is an eight per cent decrease on the previous quarter, it still shows a healthy level of business confidence within the region.
Recruitment difficulties still persist across the West Midlands Combined Authority area, with 73 per cent of businesses reporting that they struggled finding staff.
This represents a six per cent increase on the previous quarter. For manufacturers, this increased further to 82 per cent.
Manufacturers also appear to be hit harder by pressures to increase prices, with 69 per cent expecting the price of their goods and services to increase over the next three months, compared to 56 per cent of service firms.
Henrietta Brealey (pictured), chief executive of the GBCC, said: “There are reasons to be positive within the latest West Midlands Quarterly Economic Snapshot as balance scores for turnover and profitability over the next 12 months remain strong.
“However, the challenges facing business continue to build with persistent issues around accessing talent particularly apparent as a record proportion of businesses faced recruitment difficulties, particularly in the Greater Birmingham area.
“Within this context, businesses need an urgent government response to the rising cost of doing business and difficulties accessing talent.
“The importance of projects and events such as the Birmingham 2022 Commonwealth Games becomes even more apparent given the opportunities they present to upskill local talent across the region.
“As a Chamber, we will be working closely with businesses to ensure they are primed to maximise the opportunities that this once-in-a-generation project will bring. ”