Hampshire exporters show signs of growth amid ‘lacklustre economic recovery’

05 Oct 11

Hampshire’s export sector is showing tentative signs of a return to growth after a dismal few months, a survey has shown. Responding to the latest quarterly research by Hampshire Chamber of Commerce, 17% of exporters report an increase in overseas sales, up from just seven per cent in the previous quarter.


While UK sales and orders have remained more or less static, the international order book has also grown - albeit from a low base. Ten per cent of firms said they had witnessed an increase in overseas orders, twice as many as in the previous three months. Businesses, whether exporters or not, also reported a better cashflow position. Thirty-seven per cent of respondents have improved their cashflow as opposed to just 16% who did in the last survey.


Investment figures were better too. A third of firms said they had increased their training budgets as against just 18% before. A quarter of respondents are putting more investment into plant and machinery compared with only 12% in the second quarter.


While the figures offer some encouraging signs, the Chamber is calling on the Government to ensure business support is strengthened not weakened at what remains an uncertain time in the economy.
The survey found that more than six out of ten businesses are aware of the Government’s Modern Workplaces consultation which proposes sweeping changes to the arrangements for flexible working and parental leave.


Captain Jimmy Chestnutt, Chief Executive of Hampshire Chamber, said proposals to extend the right to request flexible working had left some members concerned, especially those who are small or medium-sized enterprises. Captain Chestnutt said: “There is a risk with these proposals that we end up with yet more red tape at a time when the government should be introducing more growth-enhancing policies and boosting confidence.
“Rather than imposing more costs on business, ministers should do all they can to foster demand, incentivise job creation and kickstart what remains a lacklustre economic recovery.”

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