Partner Article

Domestic sales on the rise for North East business

NORTH East businesses saw domestic sales in the final quarter of 2010 hit their highest level since 2007, according to a new economic report.

The North East Chamber of Commerce’s (NECC) quarterly regional economic survey shows that companies in the region enjoyed an upturn in orders both at home and abroad compared with the same period last year.

The report suggests that the business community in the region is in better shape to rise to the demands of the impending public sector cuts.

Ross Smith, NECC head of policy, said: “Hitting a three-year high for domestic sales is a great result for North East businesses, although we have to recognise that the past three years were a tough trading period for most firms.

“Overall though, we should welcome the results of this latest NECC survey.”

Despite the positive news, the data has yet to inspire confidence among businesses to make major investments.

Responses to the survey suggests major investment plans remain weak and future workforce numbers remain stagnant.

Mr Smith added: “We are concerned that our workforce numbers among our member companies are static. We are entering a crucial period for the economy where the North East labour market will be hit by redundancies in the public sector.

“We need private sector recruitment to be buoyant to meet the demand for jobs. These figures suggest that gap is not yet being filled.”

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