Two-fifths of small firms aim to create jobs in 2014

IMProVEMENtS in Britain’s economic outlook are beginning to filter through to small businesses, with two-fifths of Scottish firms planning to create jobs during the coming year, according to a new survey.

Some 43 per cent of companies are gearing up to hire staff during 2014, with each firm planning to raise its headcount by an average of 9 per cent.

If all the businesses follow through on their plans, the figures could translate into an extra 40,000 jobs created throughout Scotland.

More than half of accountancy firms and a similar proportion of manufacturers forecast that they will recruit workers in the year ahead, but only 9 per cent of retailers and wholesalers expect to take on extra staff.

Scott McKerracher, regional director for business and private banking for the east of Scotland at Clydesdale Bank, which con- ducted the survey, said: “As the UK economic outlook continues to improve, we are starting to see a positive impact on recruitment plans.

“Increasing staff numbers can help businesses to boost productivity and competitiveness, and allow expansion into new markets as capacity grows.”

Across the UK, only 2 per cent of companies plan to axe jobs during 2014.

the survey also found that more than half of small and medium-sized enterprises (SMEs) said that the UK economy offers good long-term prospects for business growth.

Unemployment in Scotland fell by 7,000 to 196,000 between August and october, according to official figures released earlier this month.

throughout the UK as a whole, the number of people out of work fell by 99,000 to 2.39 million over the same period, decreasing to its lowest level since 2009.