Agents' Summary of Business Conditions - January 2014

Published on 22 January 2014

Annual growth in the value of retail sales had eased, but consumer services turnover growth had edged higher.
Housing market activity had continued to strengthen.
Investment intentions in both manufacturing and services had continued to point to modest growth in capital spending over the next twelve months.
Annual growth in business services turnover had edged higher.
Manufacturing output growth for the domestic market had risen further. Moderate growth in the value of manufactured exports had continued, though the pace of growth had eased very slightly.
Annual growth in construction output had increased further, with signs that growth was spreading beyond house building.
Credit availability had continued to improve gradually, including for small and medium-sized enterprises, with evidence of increasing competition to lend.
There were widespread reports of growth in employment, albeit often incremental. Recruitment difficulties had edged higher and were now close to normal levels.
Spare capacity had continued to be eroded gradually as output rose.
The annual rate of growth in labour costs per employee had edged higher, though remained moderate.
Inflation in materials costs had remained subdued and imported finished goods price inflation had edged lower.
Output price inflation had remained muted, but profitability had edged higher alongside rising business volumes.
Inflation in consumer prices had fallen back over recent months, largely reflecting a slowing rate of increase in the price of retail goods.