The majority of Yorkshire businesses expect 2023 to be more successful than 2022, despite challenging economic forecasts, according to the latest data from Lloyds Bank.
Almost three quarters of the region’s firms (73%) said they are confident they would have greater success in the coming 12 months, compared to the past year. Nearly a fifth (17%) were not confident about being more successful in 2023 and one in 13 (7%) expected their business to perform at the same level in the next year. The research was carried out between December 1 and December 14 as part of additional polling for the monthly Lloyds Bank Business Barometer.
Firms in Yorkshire projected a more upbeat outlook for 2023 with more than half (58%) expecting a higher turnover than in 2022. A quarter (25%) of businesses expect turnover to increase by between 5% and 19%, and more than one in eight (13%) anticipate turnover to increase by more than 20%.
When businesses were asked what they would do to fuel growth, 98% said they were planning an investment drive. Firms reported that funding would be used to develop their company (42%), introduce energy efficiency measures (40%), and train staff (36%).
Alongside investment, Yorkshire businesses plan on making several New Year’s resolutions. These include to improve productivity (52%), win new business in existing markets (37%), and upskill existing staff (36%). Almost a third (32%) said they are planning to retain existing staff, with 25% investing in paying bonuses and short-term incentives. More than a fifth (21%) are intending to target growth from their existing customer base.
Steve Harris, regional director for Yorkshire and the Humber at Lloyds Bank, said: “It’s been an interesting year to say the least, so to see so many firms across Yorkshire preparing for a more positive 2023 is extremely encouraging. Despite the challenges the region has faced, firms are thinking long-term and putting the steps in place now for a successful future. For example, businesses are looking to invest more in their teams and explore new markets to support their growth in the new year.
“If the resilience I’ve seen on the ground continues, I’m confident firms across the region will have a very bright future. We’ll be by the side of businesses to provide the right support and guidance as they seize and benefit from the new opportunities that lay ahead.”
