Business confidence in the East of England fell 31 points during June to 23%, according to the latest Business Barometer from Lloyds.
Companies in the East of England reported lower confidence in their own trading outlook month-on-month, down 24 points at 33%. When taken alongside their optimism in the economy, down 37 points to 14%, this gives a headline confidence reading of 23% (vs. 54% in May 2026).
Despite this, East of England firms reported strong customer demand (72%) and increased investment in capacity and technology (44%) as drivers of confidence in their own trading outlook.
A net balance of 37% of businesses in the region expect to increase staff levels over the next year, down seven points on last month.
Business confidence in the East of England now sits below the 12-month average of 46%, with its highest figure of 64% in August last year.
Looking ahead to the next six months, East of England businesses identified their top target areas for growth as investing in their team, for example through training (55%) and evolving their offering, for example by introducing new products or services (37%).
The Business Barometer, which surveys 1,200 businesses monthly and which has been running since 2002, provides early signals about UK economic trends both regionally and nationwide.
Kirsty Sadler, Regional Director for the East of England at Lloyds, said: “This month’s decline in confidence shows there are broad economic challenges that firms in the East of England are having to grapple with. But with summer now here, many will be entering a peak season as holidaymakers flock to the East coast, so there will be opportunities for our businesses to capitalise on. It’s encouraging to see East of England businesses feeling confident in some areas of their own trading outlook.
“Whatever the near future has in store, we’ll continue to provide the tailored support they need to navigate the coming months and set themselves up for long-term growth.”
