Businesses Growing NI Economy

Local businesses helped the economy grow by almost 10% to £16 billion last year.

Figures from the 2006 Northern Ireland Annual Business Inquiry (NIABI) show the increase of £1,408 million was higher than the rate of growth recorded last year (7.1%) and also higher than the average annual rate of growth recorded in the period 2001-05 (3.9%), the inquiry said.

The NIABI provides the first detailed estimates for 2006 of the level of mainly business-based economic activity across some two-thirds of the Northern Ireland economy.

The results include estimates of the value of income generated by individual businesses and industry sectors after payment for goods and services

– Approximate Gross Value Added (GVA); the total value of sales and work completed – turnover; and other financial information.

The largest growth by value was recorded in services where GVA increased by an estimated £811 million (9.9 per cent) in 2006 to £9 billion.

Construction recorded an increase of £362 million (18.1 per cent) over the year to 2006, slightly less than the gains achieved last year (£396 million, 24.8 per cent growth).

Despite difficulties including wage pressure from abroad, the manufacturing sector continued to play an important role in the Northern Ireland economy, said the inquiry’s report – and was estimated to be worth £4 billion or a quarter of total GVA in 2006.

(BMcC)