UK firms are confident about the next three months and are planning to take on more workers despite expectations that exports will be hit by weak growth in the Eurozone.
The BDO employment index, released this morning by accountants BDO, achieved its 13th consecutive rise in September to reach a post-crisis high of 112.3. This is well above the 100 figure that represents long term growth and is a sharp increase from August’s 111.2.
In contrast, manufacturers cut their growth expectations in September by the largest amount since May 2013.
The BDO output index for manufacturers fell from 113.2 in August to 111.6 in September.
Although above the 100 mark, indicating long-term growth, it suggests manufacturers are feeling the impact of a stagnant Europe.
The overall output index, which predicts business’ growth expectations over the next three months fell from 103.8 to 103.3
After the Eurozone economy stalled in the second quarter, recent survey data implies it may have gone into reverse.
However, this failed to quash business confidence, with the BDO optimism index maintaining its August value of 105.0 in September.