We are pleased to announce the release of our Quarterly Economic Survey (QES) Q3 2026 Report, providing an insight into the experiences, challenges and opportunities facing businesses across Herefordshire and Worcestershire.
A total of 236 businesses contributed to this quarter’s survey, sharing their views on trading performance, business confidence, recruitment and skills, innovation, sustainability, international activity, digital adoption and the growing use of AI in the workplace.
The findings show a modest improvement in domestic business performance during the quarter. The net balance for UK sales increased from 5% in Q2 to 7% in Q3, while UK orders improved from -3% to -2%. Overseas activity was weaker, with both overseas sales and orders recording a net balance of -6%.
Cashflow remained broadly stable, with 28% of businesses reporting an improvement over the past three months, compared to 25% reporting a deterioration.
Recruitment continues to be a key challenge for local businesses, with 47% reporting difficulties filling vacancies. Skilled manual and technical roles remain particularly difficult to recruit for, highlighting the ongoing importance of addressing local skills needs.
The survey also highlights the increasing adoption of AI across businesses. Organisations are primarily using AI for administration, writing and research, as well as marketing, sales and customer service activities. Saving staff time and increasing productivity were identified as the most significant benefits.
The Q3 report provides valuable insight into the current business environment across the two counties and helps ensure that the priorities and challenges facing local businesses continue to inform discussions with strategic partners and the British Chambers of Commerce.
Thank you to all the businesses that took the time to share their experiences and contribute to this quarter’s survey.
Read the full Q3 2026 Quarterly Economic Survey report below.