Business News Round Up (29/02/2024)
UK economy: business confidence remains high with firms set to increase headcount
Business confidence slipped marginally in February, but overall confidence remains robust supporting the view the UK economy has passed the worst. Despite falling into a shallow recession in the second half of last year, business surveys have pointed to an upturn at the beginning of the year. Lloyds Business Barometer, which measures business confidence, remained well above historical levels in February despite falling slightly compared to January. Overall firm confidence, which combines firms’ expectations for the economy as a whole as well as their own trading prospects, fell to 42% in February, down from 44% in January but well above the long-term average of 28%. Business confidence in the manufacturing and construction sector drove the monthly fall, with the service sector remaining optimistic about the year ahead. Reflecting buoyant confidence, expected staffing levels increased to a two-year high.
Scotland leads the UK in business confidence during February
Scottish businesses recorded the strongest business confidence of any UK nation or region in February, according to the latest Business Barometer from Bank of Scotland Commercial Banking. Companies in Scotland reported stronger confidence in both their own business prospects (up 11 points to 68%) and the wider economy (up 19 points to 46%) month-on-month. Taken together, this gives a headline confidence reading of 56% (vs 42% in January). Looking ahead to the next six months, Scottish businesses identified their top target areas for growth as evolving their offering, including new products or services (49%), investing in their team (32%) and introducing new technology (22%). Overall, UK business confidence dipped two points in February to 42%, driven by softening confidence from firms in both their own trading prospects (49% vs 51% in January) and the wider economy (34% vs 37% in January).
https://www.insider.co.uk/news/scotland-leads-uk-business-confidence-32232204
New study reveals large scale demand for hydrogen in North West
A new study by the North West Hydrogen Alliance (NWHA) has shown that demand for low carbon hydrogen in the region could support up to 2GW of hydrogen production by 2030 – a fifth of the Government’s target for the whole of the UK. It is expected that industry and power generation will be the first movers for significant take-up of hydrogen with estimates revealing total demand in the region could support up to 7.5GW of hydrogen production by 2050. Demand is also expected to come from transport and heating buildings. The North West is one of the first two decarbonised energy clusters given government backing with HyNet North West selected as a Track-1 Carbon Capture, Usage and Storage (CCUS) cluster.
Neurodivergence ‘massively underestimated in tech’
A new report has claimed that neurodivergence is massively underestimated in the technology industry. The Diversity in Tech report, published by non-profit the Tech Talent Charter, revealed shockingly low reported levels of neurodivergent people in tech – just 3% versus 15-20% estimates of the wider population – according to employers. Yet a separate poll of UK tech workers found that more than half of tech workers identify as neurodivergent when asked directly, highlighting significant failings in the diversity ‘self ID’ process across the industry. TTCs annual report is a collaboration between over 700 UK organisations sharing their diversity data to provide candid insights into the UK tech economy. Using data from 708 companies, including sponsors Global, HP, Lloyds Banking Group, Nominet, PwC, Sky and BAE Systems Digital Intelligence, the report reveals the latest statistics on inclusion, equity and diversity drawing on a sample of 230,000 UK tech employees.