SMALL firms across the North West have one of highest confidence figures in the UK, according to the latest Federation of Small Businesses (FSB) study.

With some trading restrictions now eased, the business group’s quarterly Small Business Index (SBI) monitor shows the confidence measure for the region rising to +39 in Q1 of 2021. In Q4 2020 the reading stood at -57%, showing a remarkable turnaround in business sentiment as lockdown eased.

The region’s confidence figure also stands higher than the UK SBI measure of +27.3.

The survey also shows 66 per cent of small businesses in the region expect their performance to improve this quarter, compared to fewer than one in three that expect theirs will worsen.

FSB England Policy Unit representative North West, Paul Wareham, said: “It’s fantastic that our retailers, our hairdressers and other businesses like gyms are now up and running for what is actually the first time this year.

“Our members, by and large, have welcomed the government’s roadmap for easing lockdown restrictions, and we’re all hoping the virus doesn’t create any unexpected deviations from the current course – that would be a disaster.”

He added: “Confidence levels are a vast improvement compared to the previous quarter in the North West, to the extent we are now back in positive figures for the first time since early 2020. The vaccine roll-out and easing of lockdown measures are likely to be contributing factors to this.”