North East businesses report positive start to 2012

Business leaders have said they are cautiously optimistic about the start of 2012 for the sector in the north-east of England.

The North East Chamber of Commerce (NECC) Quarterly Economic Survey was based on responses from 386 companies.

It found rises in UK and export sales and orders, business investment, future profitability and workforce levels.

The NECC welcomed the survey but warned against complacency and urged businesses to continue to work hard.

The survey, produced in partnership with Barclays, used measures across 12 separate indicators.

'Underlying strength'

NECC chief executive James Ramsbotham said: "This survey has provided us with a welcome dose of positivity and optimism for the year ahead.

"This is the first time we have seen such positive indicators in the QES (Quarterly Economic Survey) since before the recession took hold in 2008 and shows a marked upturn on the weak and imbalanced growth seen throughout 2010 and 2011."

He welcomed the performance of the region's manufacturers and exporters alongside the service sector.

Mr Ramsbotham said: "It would be naive to suggest these figures signal the beginning of a significant upturn."

But he said the survey showed "the underlying strength of our firms".