The Bank of Scotland has reported a growth in business optimism, despite its latest figures showing the country’s economy has remained flat.
Whilst the bank is showing a largely static performance over the months leading up to June, companies in Scotland are showing high expectations.
It is indicative of a significant period of growth for the private sector over the coming six months.
There are a number reasons for the increased confidence. Most particularly though, it is simply down to an increase in the amount of new business coming in.
Over the period monitored, new business had a net balance of plus six per cent. This compares to a drop of minus two per cent in the previous period.
Better financial strategies introduced by companies, many with the help of an asset finance broker, are also likely to have helped with the confidence. It has also helped many firms to grow and actively seek new business.
Another plus point was the increase in exports over the period, with the report also showing significant expectations for further increases.
It has all contributed in a dramatic upswing in the levels of confidence.
Donald MacRae, the chief economist at the Bank of Scotland said:
“Some of this confidence building appears to have begun in the first six months of 2013. If it continues throughout the year the Scottish economy should record a year of growth in 2013.”
In the next six months, the report showed nearly a third of businesses, 32 per cent, expected turnover to increase.