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newsApr 27, 20261:20

Birmingham Businesses Face Challenges Amid Middle East War

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Greater Birmingham businesses started 2026 strong, but the Middle East conflict disrupted plans with rising costs and supply chain issues. Manufacturers struggled with recruitment, particularly for skilled roles. Wages and corporate taxes were top cost concerns. Despite challenges, exports improved, and factories increased skills training budgets.

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Birmingham Businesses Face Challenges Amid Middle East War

UK News Today | 2 Min News | The Daily News Now!

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UK News Today | 2 Min News | The Daily News Now!Birmingham Businesses Face Challenges Amid Middle East War. Machine-transcribed; use the interactive transcript above to jump the player to any line.

On April 27th, Greater Birmingham Businesses kicked off the first quarter of 2026 on a high note, with more advanced bookings at home and Abroad, plus upticks and hiring, training and investment plans, but the escalating war in the Middle East flipped the script fast. Rising fuel and utility costs, freight delays and jumps and transport expenses have messed up those plans big time. Back when they surveyed from February 9th to March 9th, less than 9% fell pushed to raise prices, but that's set to spike hard this quarter. Firms are feeling the squeeze, especially manufacturers facing the toughest recruitment battles, 71% tried hiring, but 84%. Percent struggled with skilled roles, wages topped the list of cost worries for 32%, while corporate taxes stressed out 26%. Recruitment hit 51% overall, the highest since mid 2025, and 34% expect headcounts to grow soon, exports brought some shine, with overseas sales balancing at 55% the best in a year, and manufacturing exporters at 64%.

Cash flow dipped low to 40, echoing tough finances, yet skills training budgets are climbing in factories. Greater Birmingham's crew stays resilient amid the chaos, eyes on that spring pipeline.

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