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Firms buck doom and gloom trend

SOLIHULL businesses are bucking the gloomy financial trend observed nationwide according to the local Chamber of Commerce.

SOLIHULL businesses are bucking the gloomy financial trend observed nationwide according to the local Chamber of Commerce.

A report out on Tuesday by the British Chamber of Commerce (BCC) claimed that the country is on the brink of recession with up to 300,000 jobs on the line.

The BCC's second Quarter Economic Survey, which questioned 5,000 UK businesses, found the credit crunch and rising costs had affected numerous sectors of the economy.

The housing and construction sector have been hit hardest by the current economic climate.

In the last few days, Persimmon announced up to 2,000 job losses, while Bovis Homes Redrow Homes plan to cut their workforce by 40 per cent.

The major losses follow the collapse of long-established builders Chase Norton in Meriden, which saw more than 150 jobs lost.

If such trends continue, Britain is at "serious risk" of a recession and only one quarter away from technical recession, the BCC report stated.

But, John Lamb, a spokesman for the Solihull Chamber of Commerce said the borough was "better prepared to weather the storm" being one of the more prosperous areas for business in the region.

"Our own quarterly economic survey was a bit more upbeat than the BCC.

"The footfall through shops has remained high and although the housing market is pretty grim at the moment, Solihull seems to be holding its prices pretty well.

"The collapse of Chase Norton demonstrates what a fragile thing business is these days, but we don't want people to be discouraged from being entrepreneurial," he added. ..SUPL:

 

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