Lloyds Bank Business Barometer data for October 2023:
- business confidence grew in October to 39% after a drop in September at 36%
- October rose to its second-highest level of 2023
- "However, our data shows that firms are still safeguarding their profit margins in response to the possibility of interest rates remaining high, wage increase pressures, and the prospect of higher energy prices again this winter,"
- Pricing expectations rose for a third month in a row to hit a new high for 2023 with 62% of firms planning to increase their prices and only 3% planning to reduce them.
- Companies expecting to raise their staffing levels rose by three points to 48% compared with 16% that planned job cuts.
- Pay increase expectations remained high.
Coming up from the UK this week, the Bank of England is expected to keep interest rates on hold on Thursday, its second no-change decision in a row after 14 back-to-back increases to fight high inflation.
