The latest Business Data Survey for the Royal Bank of Scotland shows this region to be the only one still to be increasing output while private sector business activity rose for the second month running in August.

Philip McKinnon, Economist at The Royal Bank of Scotland, said: "The North West private sector economy showed its hardiness in August. The North West was the only UK region to register an expansion in output.

"However, the region could not escape the national trend of shrinking private sector workforces and sharp increases in input prices."
New business in the North West private sector registered a solid expansion in August, having been almost unchanged in July and fallen in May and June.

That said, the overall rate of expansion was moderate, as manufacturing new orders fell slightly. Nevertheless, the North West was one of only two UK regions to post higher receipts of new work in August (the other being London).

The volume of outstanding business in the North West private sector economy declined for the 22nd month running in August.