The Yorkshire and Humber economy is returning to growth after a three-month slump

The Yorkshire and Humber have started growing again after three months of decline, according to an influential business survey.

The NatWest Yorkshire & Humber PMI Business Activity Index, which measures month-on-month changes in the region’s manufacturing and services sectors, returned above the 50.0 mark in May, rising to 50.5 in May, which shows an expansion in the private sector in the region. sector. However, growth was the lowest of the twelve regions and countries of Britain covered in the report.

Companies surveyed pointed to new orders after a multi-year series of declines, with companies saying they were seeing improved market confidence. This led to a number of companies hiring additional staff in May, with employment growth slightly above the UK average.

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The pace of input cost inflation slowed in May and was at its lowest level in seven months, the survey showed, with companies emphasizing higher wages and increases in prices for raw materials such as aluminum.

Malcolm Buchanan, chairman of NatWest North regional board, said: “The latest PMI data for the Yorkshire & Humber region provides encouraging figures, with local businesses seeing renewed increases in output, new orders and employment during the month.

“The hope will be that the recent weak period is behind us and that growth can consolidate and accelerate in the coming months. Another notable development was that sales prices rose at the slowest pace in the last four years, potentially providing a further boost to demand conditions.”