30% of firms in Scotland reported an increase in turnover for the past three months, as the economy north of the border continues to recover from recession.
According to the latest Lloyds TSB Scotland Business Monitor, 33% experienced static turnover while 37% experienced a decrease. This gave a net balance of -7% unchanged from the previous quarter but an improvement on the -13% reported in the same quarter last year.
Data from the last Business Monitor showed the Scottish economy had resumed a tentative exit from recession with five of the last six quarters showing an improvement in firms’ turnover. This steady emergence from recession has been maintained this quarter.
The volume of new business showed a marked improvement to -4% net balance compared to the -12% of the previous quarter and the -11% of the same quarter one year ago. These improvements are more evident in the service sector than in the production sector, Lloyds said.
Export activity fell but remains positive with marginally more firms reporting an increase (26%). Almost a quarter (24%) experienced a decrease in export activity, giving an overall net balance of +2%. This compares poorly to the +13% of the previous quarter, but is similar to the same quarter last year when it sat at +3%.
Donald MacRae, chief economist, Lloyds TSB Scotland said: “After five quarters of declining output with the most severe decline in quarter one of 2009
