We have an important role to play in creating a more sustainable and inclusive future.
Our report provides an update on how we are Helping Britain Prosper in a way that delivers long-term profit and returns.
We put you first, so you can put our customers first.
Our report provides an update on how we are Helping Britain Prosper in a way that delivers long-term profit and returns.
Disclosures relating to our strategic, financial, operational, environmental and social performance.
See all the key dates in the financial year.
Higher, more sustainable returns as we continue to Help Britain Prosper.
With hubs across the UK, there's a place for you.
We're searching for the best talent to join us in Leeds.
Join us as we explore new ideas and technologies to reshape the world of finance.
We have an important role to play in creating a more sustainable and inclusive future.
Our report provides an update on how we are Helping Britain Prosper in a way that delivers long-term profit and returns.
We put you first, so you can put our customers first.
Our report provides an update on how we are Helping Britain Prosper in a way that delivers long-term profit and returns.
Disclosures relating to our strategic, financial, operational, environmental and social performance.
See all the key dates in the financial year.
Higher, more sustainable returns as we continue to Help Britain Prosper.
With hubs across the UK, there's a place for you.
We're searching for the best talent to join us in Leeds.
Join us as we explore new ideas and technologies to reshape the world of finance.
Across every nation and region of the UK businesses are creating jobs, investing in communities and driving innovation. From technology clusters across our cities to world-class services businesses in every part of the country, the foundations for long-term growth already exist. The challenge isn’t a lack of opportunity – it’s how we unlock it.
Having spent my career working with businesses of all sizes, one thing has become increasingly clear: there is no single formula for regional growth. Every region has its own strengths, challenges and ambitions. What works in one place will not necessarily work in another. But there are common themes.
Businesses consistently tell us they want to invest, scale and innovate. They want to become more productive, reach new markets and create new opportunities for their employees and communities. Yet many face barriers that make that journey harder than it should be.
If we are serious about accelerating growth across the UK, we need to focus less on identifying opportunities and more on creating the conditions that allow businesses to act on them.
When I speak to businesses across the country, one issue comes up more often than any other: productivity. Productivity can sound like an economic term removed from day-to-day business reality; it’s about helping businesses do more with the resources they have available. It is about investing in people, processes, technology and innovation so that businesses can compete more effectively and grow sustainably. This opportunity exists in every sector and every region.
For some businesses, increasing productivity means investing in automation or advanced manufacturing technologies. For others, it means embracing digitalisation, using data more effectively or exploring the potential of artificial intelligence. In many cases, it means finding ways to free up time so management teams can focus on growth rather than administration.
Our Business Barometer AI research reveals this shift directly. 70% of businesses using AI report productivity improvements, with momentum accelerating across every nation and region. More tellingly, those same businesses report improving business confidence as they see results. This isn't emerging technology adoption; it's increasingly how Britain's mid-market businesses are strengthening competitiveness, scaling operations and preparing for long-term growth.
Productivity is also becoming increasingly important as businesses look beyond domestic markets. Many mid-market firms are exploring opportunities to trade internationally, invest in new supply chains and reach new customers overseas. Digital technologies, automation and better data are helping businesses compete more effectively on a global stage while remaining rooted in the communities where they operate.
An example is the Manufacturing Technology Centre (MTC). By bringing together industry, academia and technology expertise, MTC helps manufacturers improve productivity, develop new capabilities and prepare for future growth. Our partnership has supported hundreds of businesses and we recently extended our long-term commitment to MTC through the launch of MTC Tyneside, increasing support to more than £18.5 million through to 2029.
Across the SME and mid-market businesses we support, we consistently hear similar concerns: access to skills, cost pressures, infrastructure constraints, supply chain challenges and the pace of technological change. However, one factor often sits behind many of these challenges: confidence.
For a business owner, investment decisions are deeply personal. Whether it is purchasing new machinery, expanding into larger premises, entering overseas markets or adopting new technology, investment carries risk. Economic conditions, geopolitical events and changing market dynamics can all influence whether a business decides to move forward or wait. Yet investment is precisely what unlocks growth.
It drives productivity improvements, creates new jobs, and enables businesses to innovate and expand. If we want stronger regional economies, we need more businesses feeling confident enough to take that next step.
Creating that confidence requires clarity, stability and support. It means helping businesses understand the opportunities ahead, and providing access to the expertise, finance and partnerships that can help them succeed.
The UK's economic strength comes from the diversity of its local economies, with many businesses remaining deeply connected to the places where they were founded. They employ local people, support local supply chains and play an important role in their communities.
It’s not about trying to make every region look the same, but rather focusing on amplifying the strengths that already exist. In the North East significant opportunities are emerging around clean energy, offshore wind and advanced manufacturing. In the Midlands, advanced manufacturing continues to be a major source of innovation and industrial capability.
The most successful growth strategies recognise these differences and build on them, combining local knowledge with national ambition and ensuring investment is directed towards the sectors and capabilities where each region has the greatest opportunity to succeed.
If productivity is one side of the regional growth equation, skills are the other. This is particularly true for mid-market businesses seeking to scale, adopt new technologies and compete internationally. Across every sector, businesses tell us that access to skills remains one of the most significant barriers to growth. Whether the challenge is digital expertise, engineering capability or specialist technical knowledge, businesses need access to talent if they are to invest and scale confidently.
This is why universities, colleges and industry partnerships have such an important role to play. Across the UK, universities, research institutions and businesses are working together to create innovation clusters that can translate new ideas into jobs, investment and growth. Britain's universities are world-class assets that can help catalyse local innovation clusters, strengthen links between research and commercialisation, and support the skills pipelines that growing businesses need.
When we bring skills, innovation, research and business investment together, regional growth becomes significantly more sustainable.
Banks have a critical role to play in ensuring businesses have access to the finance they need to invest with confidence. As part of Lloyds Banking Group's commitment to supporting economic growth, we're making more than £35 billion of new finance available to businesses operating or investing in the UK. That investment is helping businesses fund expansion, strengthen productivity, invest in innovation and pursue opportunities both at home and internationally.
For many business owners, their banker remains one of the first people they turn to when making major decisions. This means we’re well placed to act as convenors, bringing together businesses, policymakers, investors and local leaders around shared growth priorities.
Through initiatives such as our sector roadshows with the CBI, we have seen the value of bringing regional leaders, mayors, investors and businesses together to identify opportunities and remove barriers to growth. Collaboration of this kind creates the confidence, clarity and momentum that attracts long-term private investment.
We have also seen the impact that coordinated public and private investment can have in areas such as clean energy and infrastructure. Long-term infrastructure investment, combined with strong regional leadership and private capital, has the potential to unlock growth, strengthen supply chains and create skilled jobs across the UK.
International trade is another significant growth opportunity. The UK exported more than £798 billion in goods and services in 2024, demonstrating the strength of British businesses on the global stage. Yet many firms still face barriers when trying to access international markets, from navigating regulations and customs procedures to identifying new customers and supply chain partners. Banks can play an important role in helping businesses overcome these barriers through trade finance, market expertise and practical support that gives businesses the confidence to expand internationally.
If I had to prioritise three areas that would have the biggest impact on regional growth over the next decade, they would be these.
The businesses that successfully adopt automation, digitalisation and emerging technologies will be better positioned to compete, scale and succeed.
Economic opportunities can only be realised if businesses can access the capabilities they need. Skills development must remain closely aligned to the strengths and future needs of individual regions.
The UK's regions don't lack ambition, but they often need greater alignment between public priorities and private capital. By working together more effectively, we can unlock investment at scale and accelerate delivery.
We're already seeing evidence that businesses are willing to invest when the right conditions exist. Lloyds Business Barometer data shows business confidence remains resilient, while many firms are actively investing in technology, productivity improvements and international growth opportunities. At the same time, businesses are increasingly looking beyond traditional markets, supported by new trade agreements and digital trade innovations that are reducing barriers to international commerce.
The opportunity is to connect that private-sector appetite for investment with clear regional priorities. When government, business and financial institutions align around shared ambitions, private capital can be deployed more quickly and with greater confidence. That is how we move from strategy to delivery and from ambition to impact.
Success will not be measured by a single headline figure, but rather by thriving local economies, stronger business confidence, higher levels of investment and more businesses having the confidence to grow.
It will mean seeing companies investing in productivity-enhancing technologies, embracing innovation and expanding into new markets. It will mean stronger links between education and industry, greater collaboration between public and private sectors, and more regions turning their existing strengths into globally competitive industries.
Most importantly, it will mean giving businesses the certainty, confidence and support they need to invest for the long term. Britain's regional businesses already have the ambition, capability and opportunity to drive growth. Our collective task is to create the conditions that allow them to do so.
The UK's regions and nations already possess extraordinary strengths. If we can unlock investment, accelerate productivity and build stronger partnerships, regional growth will not simply be an economic objective; it will be something people can see, feel and experience in communities across the UK.
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