Business confidence turned positive in February, bouncing back to a post-election high, according to a survey out this morning.
Firms reported feeling increasingly optimistic about the state of the economy, the monthly survey of 1,200 UK companies by Lloyds Banking Group found.
There was a 12-point jump in the headline index this month, reaching the highest level since August 2024, with increasing confidence broad-based across sectors such as manufacturing, services and construction.
A growing economic optimism was the main driver of the jump, with an increase of 18 points, which was the biggest monthly increase since late 2020.
Hiring intentions also climbed by nine points to 41%, with companies surveyed citing taking on new staff and up-skilling as the largest growth opportuity in the coming six months.
Hann-Ju Ho, senior economist at Lloyds Commercial Bank, said the survey reflected the “resilience of UK businesses” in the face of rising employment costs.
“Increased optimism, along with an expected uplift in trading prospects, is prompting businesses to invest in growing and upskilling their workforce, putting them in a prime position to capitalise on increased demand and drive future growth,” he said.
No comments yet