Lloyds TSB notes upwards trend in business confidence

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Lloyds TSB notes upwards trend in business confidence

There is an upward trend in the confidence which businesses are exhibiting as global demand is stabilising, according to Lloyds TSB.

Trevor Williams, chief economist at the bank, notes that the latest Corporate Markets Business Barometer shows firms are more upbeat about their prospects and about the economy in general.

He commented that businesses are responding to stabilising global demand by rebuilding stocks, as they can see signs of recovery.

"While we may see a return to growth in this quarter, any sustainable recovery is still very much dependent on these policy measures improving consumer and business spending," he added.

Mr Williams warned that we should be cautious about the situation because the economy has reached where it is now because of "extraordinary" policies such as the low level of interest being offered at the moment.

This week, an industry commentator warned that the level of personal debt that people in the UK currently have will stop the economy recovering as quickly as other European countries.

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