Bradford businesses are becoming more concerned about financial pressures but are driving the economic recovery forward nevertheless, according to research published today.

As it released the results of its latest survey, Bradford Chamber of Commerce warned that the Budget measures were not a collective tonic to pick up the economy and balance out spending cuts.

The Chamber’s survey revealed that confidence improved again in the service sector, following a wobble three months ago, but manufacturing dipped after four generally improving quarters for profit expectations.

Sales and orders in domestic markets have held their own since April, when the last survey was carried out, but this was not replicated in exports, where services and manufacturing diverged.

The services sector dipped while manufacturing stayed strong for the third successive quarter.

The Chamber said the service sector in particular was feeling the pinch right now, with worries over inflation levels and corporation tax backed up by increasing overheads and finance costs.

Both sectors were able to look at investing more, in both equipment and personnel, but there is little change as yet to the sluggish recruitment market. Businesses are now hoping that Budget measures will help to support the economy, but Bradford Chamber has issued a warning on the future.

President Harold Robinson, a director with Robinson Design, said: “The Budget measures, though welcomed, cannot be held up as a collective tonic to pick up the economy and balance out the spending cuts.

“The latest Bradford Chamber survey shows that many companies are still nervous about the future. Yes, they’re getting on with business as usual, but conditions remain difficult and budgets very tight.

“Confidence in the manufacturing sector dropped this time around so we’ll need to keep an eye on that, as it’s still important locally but it’s pleasing to see that companies are not forgetting about the importance of investment.”