Edward Rimmer, UK Chief Executive comments:
"The findings of the Business Factors Index for Q1 reflect a mood of cautious optimism with pockets of growth and great success stories, sitting alongside some businesses that are still coping with the long-term effects of the downturn.
While it is clear we are still a long way from returning to sustained growth and a full recovery, there is a genuine sense that the economy is turning a corner going forward in 2011 with the Index reaching its highest ever monthly point at 111.2 in March this year.
As we move forward during this period of economic recovery, the Index provides a valuable ‘window’ into the state of the British economy and the outlook for small and medium-sized businesses.
One particularly encouraging sign is the marked improvement in manufacturing performance with the sector reaching its highest quarterly reading (113.8) since it began in 2007. It’s also good to see the construction industry has enjoyed something of a revival with a 46.6 point quarter increase to 119.3.
While the Index is extremely positive for three UK regions – East Anglia and the East and West Midlands, the North East and North West are both in need of support. This should hopefully come in the form of the 21 new Enterprise Zones which the Government announced in the Budget. Planned for Northern England as well as the Midlands, they should bring tax incentives and freedom from onerous planning restrictions in an effort to stimulate business start-up, boost investment levels and create much-needed employment opportunities.
But in order for business to move forward in a recovering economy, difficult decisions will have to be made and everyone, from the sole trader expanding into new markets to the chief finance officers controlling multimillion budgets, will have to play their part.
As a specialist in invoice finance, we intend to play our part and will continue to fully support businesses ensuring they can free up their cash flow, alleviating financial pressures, so they can concentrate on running and developing their business.
We are committed to simplifying invoice finance and its benefits as a flexible source of funding, which provides the stability businesses need to grow and in turn help drive the UK economy into a brighter and more prosperous future for us all.
Edward Rimmer
UK Chief Executive
Bibby Financial Services