Businesses across North Wales are showing resilience and caution in a challenging economic climate.
The latest Quarterly Business Report (Q3 2025) from the West Cheshire & North Wales Chamber of Commerce, based on responses from firms across the region, highlights that while overall trading conditions remain stable, export activity has weakened and business confidence has eased in the face of cost pressures and ongoing uncertainty.
Export sales and orders both fell sharply, reaching their lowest levels since late 2020, pointing to reduced demand in overseas markets. Domestically, UK sales and orders remain in positive territory but have softened compared with earlier in the year, signalling slower momentum in the home market.
Balances for turnover and profitability both declined in Q3, reflecting lower confidence and continued cost challenges. Although cashflow improved modestly, many businesses remain cautious about investment. The survey found that investment in plant and machinery rose only slightly to 1.2%, while training investment held steady at 15.9%, indicating firms are focusing on workforce development rather than capital expenditure.
Cost pressures continue to weigh heavily. The balance of firms reporting increases in labour, energy, and raw material costs remains high, leading many to raise prices. The balance for price increases rose to 48%, well above the long-term average.
Sarah Bailey, Chief Executive Officer and West Cheshire & North Wales Chamber of Commerce, said:
“This quarter’s results paint a picture of a business community that is resilient but cautious. Export balances have fallen to their lowest level since 2020, while investment and business confidence have softened amid ongoing uncertainty. Firms across West Cheshire and North Wales are working hard to maintain growth, but many are delaying major investment decisions and facing continued cost pressures.
“As we approach the Autumn Budget, businesses need clear support on energy costs, skills investment, and incentives that boost productivity. A stable, long-term plan to drive regional growth and restore confidence will be key to unlocking the potential of our local economy.”
