Confidence among small businesses is continuing to improve after a surve y showed three-fifths of firms expect to grow in the next 12 months.
The index by the Federation of Small Businesses (FSB) registered plus 41 in the third quarter - the first time that sentiment has reached this level - with every sector recording a positive outlook for the next three months.
It is the seventh consecutive quarter that small businesses have been positive about their outlook, while r egionally the North East showed the greatest gains compared to a year ago, recording a confidence score of plus 44. The South East remains the most confident region overall, registering a score of 52.
FSB national chairman John Allan said: \" We\'re seeing record breaking confidence from our members which suggests small firms will continue to spearhead the UK\'s recovery.
\"We want policy makers to lock in this optimism and continue to back the self employed and small businesses.
\"As we head in to party conference season, we\'ll be looking to all the political parties to spell out what they will do to encourage job creation, investment and reward entrepreneurs in the next Parliament.\"
The FSB said one third of businesses surveyed expect their turnover to grow in the next quarter and almost a fifth expect to see profits rise.
The most confident sector remains financial services, while most improvement was witnessed in health and social work and in the hospitality industry. Job creation has also been robust, with hiring intentions at an all-time high for the four years since the launch of the report.
The quarterly survey of FSB members took place between July 30 and August 13 and received 2,137 responses.
