Small business confidence grows Optimism among SMEs is at its highest level in almost two years according to a survey compiled by NatWest. However, the survey reveals a divide in the trading performance of services, manufacturing, and construction businesses. Services-based companies outperformed their larger peers, while manufacturers recorded a fifth consecutive month of decline in production volumes. Construction firms saw a slightly reduced decline in output, but the survey results remained negative. James Holian, head of business banking at NatWest, said: “After a turbulent year for the economy, it is really encouraging to see that small businesses ended 2023 in higher spirits, with growth accelerating at the fastest rate since May. With business confidence now at its highest level in over a year, there's a real sense of momentum as we start 2024.”