Business News Round Up (13/01/2020)
Downturn in Scottish manufacturing continues for seventh month on trot
Scottish manufacturing firms suffered a seventh consecutive fall in output in December as business activity as a whole stagnated, according to the latest RBS Purchasing Managers Index (PMI). The report also found that despite weak demand and continued uncertainty, firms were confident that output will rise over the coming year with sentiment reaching a six month high. The PMI report found that overall private sector activity was unchanged during December following growth in November.
https://www.insider.co.uk/news/downturn-scottish-manufacturing-continues-seventh-21268182
Optimism in financial services at highest since mid-2015
Optimism in the financial services sector is improving at its fastest pace since 2015 as trading volumes are expected to return to growth in 2020, according to the latest CBI/PwC Financial Services Survey. The quarterly survey of 94 firms, conducted before the 2019 General Election, found that optimism about the overall business situation in financial services rose for the first time in twelve quarters, and at the fastest pace since June 2015, a year before the EU referendum.
https://dailybusinessgroup.co.uk/2020/01/optimism-in-financial-services-at-highest-since-mid-2015/
North West sees contraction in business activity soften at year end
The private sector economy remained contracted for the North West at the end of 2019, as ongoing declines in new business continued to curb local output, according to the latest NatWest Purchasing Managers Index (PMI). Despite rising from 47.4 in November to 48.7 in December, the headline NatWest North West Business Activity Index – a seasonally adjusted index that measures the change in the combined output of the region’s manufacturing and service sectors – continued to point to falling output across the region. However, rates of reduction moderated and employment was lifted for the first time in four months as companies sought to expand capacity. Rates of both input cost and output charge inflation accelerated.
BGF targets fresh Scottish opportunities after investing £20m in 2019
Equity investor BGF has revealed it invested almost £20 million in high growth Scottish companies in 2019. Formerly known as Business Growth Fund, BGF announced it is targeting further opportunities in Scotland as it praised a resilient performance by portfolio companies amid ongoing uncertainty. New additions to its Scottish portfolio in 2019 include Dundee-based mobile app developer Waracle, which plans to create up to 100 jobs in Scotland on the back of a £4.8m funding package.