London businesses experienced the strongest rise in business activity since 1997 over the month of September.
The significant growth in business activity broke records for the second month in a row, according to the Lloyds Bank Commercial Banking London Business Activity Index, a seasonally-adjusted index that measures the combined output of the region’s manufacturing and service sectors.
In more bright news, a whopping 27% of London businesses said they had taken on new staff in September, meaning employment rose for the fifth month in a row.
Managers said that new business and future growth forecasts had led to the rise in hiring.
The measure of business activity rose to 62.9 in September, up from 61.9 and above the UK reading of 60.5.
London experienced the fastest growth in business activity of any UK region, bringing it to its 16-year peak.
London companies saw a significant increase in new business orders, according to the survey.
Ian Patterson, area director SME Banking in Central London, Lloyds Bank Commercial Banking, said: “London’s private sector economy recorded a stellar performance in September, as new business growth hit a record high and supported another marked rise in activity.
“Adding to the positive news, employment grew at one of the strongest rates for six years as firms took a less cautious approach towards hiring.
“London has seen a sharp acceleration in the rate of economic expansion during the third quarter of the year as a whole, with overall growth the strongest for over 16 years.”
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