News / 20 Nov 2025
The adaptability and agility of West Midlands businesses is “becoming a defining feature of the region’s business landscape” as it continues to embrace the technology and digital capabilities, according to a senior NatWest economist.
Speaking at an economic outlook event hosted in our Birmingham headquarters ahead of the Autumn Budget on 26 November, Stephen Blackman, Principal Economist at NatWest also praised the resilience of the region’s manufacturing industry.
The West Midlands is showing real resilience despite pressures that are hitting manufacturing, a cornerstone of the region, particularly hard. Factories and engineering firms are having to adjust to higher energy and labour costs alongside uncertainty in global trade, yet they continue to adapt and push forward. It is not just manufacturing feeling the change. SMEs and large businesses alike are embracing the rapid pace of technological transformation, from exploring artificial intelligence to investing in new digital capabilities. This agility is becoming a defining feature of the region’s business landscape.
Despite the difficult trading conditions, Chris Jones, corporate partner at Gateley, believes that business confidence is continuing to grow and there is an anticipation that deals will begin to flow once the full extent of the Autumn Budget is revealed.
Jones said: “Businesses continue to grapple with various economic headwinds, including last year’s increase in employers’ national insurance contributions and interest rates that have dropped more slowly than was forecast.
“It’s therefore very welcome to hear from Stephen that there are many reasons for cautious optimism, and that the West Midlands remains one of the regions best-placed to capitalise on future opportunities when they arise.
“We see this reflected in improving client confidence and a growing deal pipeline for Gateley that we expect to flow through once the Budget has passed.”
Finishing on a positive note for consumers in the region, Stephen Blackman added: “On the brighter side, household finances in the West Midlands, like elsewhere, are on average, stronger than many assume, which could be a source of optimism. If inflation continues to ease, I believe the region could see a welcome lift in consumer confidence, a development that would ripple positively through local shops, services and communities.”
