Small businesses growing amid underwhelming export figures

Lauren Fedor
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Companies reported steady growth in domestic orders (Source: Getty)
Small-and medium-sized manufacturers saw growth in the three months to July, despite a dramatic fall in export prices, according to a new survey out today.

According to the latest Confederation of British Industry (CBI) SME trends survey, companies reported steady growth in domestic orders, a rise in output in line with expectations and a slight uptick in business optimism.

But new export orders fell and export prices dropped off sharply, falling at their fastest pace since October 2003. The CBI said such a slide in prices would likely limit export orders in the next quarter.

Commenting on the results, Anna Leach, head of economic analysis at the CBI, said: “The relative strength of the pound against the euro is hitting export orders and margins. This, alongside uncertainty regarding Greece, threatens growth prospects in the Eurozone.”

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