GC Situation Report: April 2024 Business and Employment Insights

The GC Situation Report, April 2024, contains leading economic data from businesses in Greater Manchester. This month’s survey findings are based on responses from 386 surveys completed between 2nd January and 2nd April 2024. 

Here are the headline figures and trends of the latest economic development: 

Business Confidence and Investment 

• Business confidence remains steady (7.3/10) compared to the previous survey result (7.4/10), and broadly similar to the average for the last year. Business confidence varies by sector, with the highest confidence in Life Sciences, Engineering, Green-Tech, and Banking & Insurance sectors.  
• 45% of firms expect to increase Capex spend in the year ahead (vs 52%).  Green-Tech, Manufacturing, Creative and Digital Technology are most likely to state they intend to increase Capex overall.   

Sales and Cashflow 

• 20% of firms reported that they experienced an increase in sales in the latest quarter (vs 29%), and 61% expect profits to increase in the year ahead (vs 66%). Although only Just 2% expect profits to decrease, which is similar to last quarter (vs 2%), the figure reflected an ongoing slow recession. 

• 68% of firms report that they have cash reserves to last over 6 months (vs 72%). 41% of SMEs with 10-249 employees have cash reserves to last over 6 months. Reserves were highest in n DCT, Manufacturing, and Green Tech. 
• 20% of firms said they had cashflow problems (vs 24%). Micro-size firms (<5 employees) were more likely to report cashflow issues compared to SMEs (10-249 FTEs). Businesses in Health care, Creative Industries (a sub-sector of Creative and Digital Technology), and Hospitality & Tourism were more likely to report Cashflow risks. 

Recruitment and Skill Gaps 

• 27% of firms surveyed are currently recruiting new staff (vs 27%), and 12% said they had difficulties recruiting (vs 12%). 
• 45% of firms said that their workforce skills are only ‘partly’ at the level to meet business plan objectives (vs 42%). 

Challenges and Support 

• The main pressing challenges facing business in the immediate future are access to new domestic sales opportunities 58% (vs 54%) - highest in Creative and Digital Technology, Manufacturing, Green Tech, developing company business model 42% (vs 44%), managing business finances 40% (vs 43%), developing new products / services 40% (vs 35%), and addressing workforce development/skills 28% (vs 27%). 
• Looking further to the year ahead, the main support areas identified are innovation at 40% (vs 36%), business planning at 34% (vs 41%), marketing at 31% (vs 35%), workforce development at 30% (vs 30%), financial advice at 29% (vs 34%), and addressing environmental impact at 20% (vs 15%). 

Download the Report 

• Download the latest full GC Situation Report. 
• Download the report infographic.