Businesses still wary of optimistic outlook

BUSINESSES remain "wary" about the economic outlook despite increased levels of optimism for their own prospects, according to a new study today.

A survey of 200 UK companies by Lloyds TSB Corporate Markets showed that just over half expected their activity to increase in the coming year, with only one in 20 predicting a slowdown.

Fewer than three out of five firms were more optimistic about the economy than they were at the start of the year. Bigger firms were the least optimistic about their own prospects as well as the general economic outlook.