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Confidence rises in Scotland

Monday 7 January 2013 5:00

Confidence is up among small Scottish businesses despite rising costs and weak trading conditions, according to a new survey from the Federation of Small Businesses.

Research suggests that more firms plan to invest over the next 12 months while they were also "substantially more confident" in the last quarter of 2012 compared to 2010 and 2011.

This was despite firms reporting rising fuel and utility costs were making it more expensive to run a business.

The federation's Scottish policy convener, Andy Willox, said: "When it's more expensive to do business, you need to work harder just to stand still. With weak consumer demand putting pressure on turnover, we need firm action on fuel and utility costs.

"For our part, these figures suggest that more firms want to generate more business by investing.

"This is encouraging, as investment spending gets money moving round the economy, fills order books, builds confidence and therefore drives growth."