London businesses confident but manufacturing stagnating

A new survey last month suggests that London businesses are feeling confident this year, but manufacturing continues to stagnate. The London Chamber of Commerce said the swift end to the war in Iraq and the recent improvement in equities had precipitated a sharp improvement company sentiment. A net balance of 38% of London firms were feeling positive about their prospects in the latest quarter, leaping from 21% in the previous three months. Almost half (47%) of finance businesses reported a rise in output in the last quarter, as did 38% of retailers. But less than a quarter (24%) of manufacturing companies reported a rise in output over the same period. Manufacturing firms, representing around 10% of total London businesses, cited competition as their biggest concern. DP