Economic conditions will continue to improve, chamber chief forecasts

ECONOMIC conditions will continue to improve in 2010, the president of the Leeds, York and North Yorkshire Chamber of Commerce told business leaders at the organisation’s annual dinner.

Gary Lumby, who is director of small business banking at Yorkshire Bank, also used his speech to call for the next government to help companies lead the country towards sustained recovery.

He told guests: “I believe that with continued low interest rates, house prices starting to recover, unemployment not reaching expected levels and inflation not looking like a threat, there is every chance that we will see growth return and opportunities start to emerge for all businesses.”

Mr Lumby added: “If there ever was a year when government needed to listen to business this is the year. It will be business that gets this country back on its feet. But we need help from government.

“Don’t squeeze the life out of business with more red tape. Don’t cut public expenditure before private investment takes off and try and ensure that Yorkshire and Humber get more support from government than we have in the past because this city, city region and county can and will deliver growth.”

He said the city of Leeds has an opportunity to transform itself over the next decade, singling out its highly motivated workforce, low cost base, diversified economy and universities.

Mr Lumby added: “Believe me, not only have we weathered the economic storm well in this region –- but 2010 could be a decade of super growth and innovation for both small and large businesses.”

The leader of the Liberal Democrats, Nick Clegg, was the guest speaker at the event on Friday evening.

In a well-received speech, the MP for Sheffield Hallam attacked the “immoral behaviour” of bankers and called for a breaking up of financial institutions that have become too big to fail.

He praised Yorkshire Bank for its emphasis on retail banking and high street services.

Mr Clegg called for the devolution of finance to return fundraising powers to the regions, such as the re-establishment of provincial stock exchanges, which would rebalance the economy away from the City of London.

He said the Liberal Democrats would invest in the UK’s crumbling infrastructure, including the transport network, to help support business and he promised to lessen the burden of regulation and red tape.

Alan Wright, the former BBC journalist turned Tory politician. was the final speaker. He entertained the audience with Northern humour, but also urged business leaders to do more to help provide hope for disenfranchised teenagers.