Partner Article

Region outpaces national average

The North East economy has made a positive start to 2010 as the latest figures reveal stronger growth of output and new orders than the UK average.

January’s North East PMI report – which charts the performance of specially-selected manufacturing and services businesses – marked the fastest rise in new work since last November.

Both output and new orders rose at accelerated rates that were above the equivalent UK averages.

However, strong competition meant that increasing input costs could not be offset by raising charges.

Meanwhile the report outlined a slight acceleration in job shedding.

Allan Little, economic adviser at regional development agency One North East, said: “There are some encouraging figures to take from this report, which follows the official confirmation that the country is out of recession.

“However we continue to face extremely challenging times and will continue our work with partners to support North East companies and workers through 2010.”

Sarah Green, regional director of the CBI, said: “All our evidence suggests that exports are picking up and this is following evidence nationally that we are picking up but as a predominantly exporting region, we will benefit from that more than most.

“We have had real evidence on the ground with Nissan announcing plans to take on an additional 400 people to cope with demand.”

Tyneside-based coatings company AMD Specialist Coatings said it was already experiencing favourable trading conditions following the end of the recession.

Managing director Steve Davis said: “Rather than simply trying to endure the recession, I have strived to drive AMD Specialist Coatings to the next level, pushing into new sectors and investing in new staff and new equipment, in order to move ahead of the competition whilst they are worrying about survival.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .