No fears of Brexit up North?

Businesses in the Northern Powerhouse region have cast aside their Brexit fears to outperform the rest of the UK with the latest figures showing the private sector output growth hit a seven-month high in April and was stronger than in any other UK region.

Job creation in the region area also outperformed the UK as a whole – with 42,000 more people in work in region compared to 2018 as a result of long-term expansion plans and new product launches.

Lord Jim O’Neill, vice chair of the Northern Powerhouse Partnership and one of the leading architects of the project, is pleased with the investment being attracted to the North – but adds more work is needed.

He said: “If you consider the same PMI data in the context of the past five years, and particularly the past three, the Northern Powerhouse has begun to outperform London. For the Northern Powerhouse to be a success it must sit at the heart of the UK’s international connections and export relationships.

“In terms of connectivity we can see through Manchester Airport’s direct flights to China and £1 billion investment in its terminal the north is placing itself in prime position to attract foreign investment. Similarly, ABP’s investments in Hull and Immingham have seen shipments originally intended for Dover moved to the north.”

“Sirius Minerals’ investment in its fertiliser mine on the Yorkshire coast will not only transform the local labour market but will add a significant sum to the UK’s export figures. To build on this success, further work still needs to be done, particularly in the area of connectivity. Not only will this improve the experience for those visiting, it will hugely improve the ability for the people living here to move around more easily and access a greater range and number of employment opportunities.”

According to the latest figures the majority of firms see output rising over next 12 months – but political uncertainty and Brexit worries are clouding business optimism.

The NatWest Northern Powerhouse PMI survey also reported that Northern business leaders want greater collaboration and a focus on new technology to ensure a “positive future” for the private sector.