Nearly 5,000 extra jobs will be generated in North Yorkshire this year alone as the area leads the whole of the Yorkshire region into boom, economic experts predicted today

But Yorkshire and the Humber as a whole will continue to lag behind growth in the rest of Britain, forecasts a report from Business Strategies, the London economic analysts.

The report foresees a big economic resurgence in Yorkshire and Humberside this year, spearheaded by financial and business services, transport and communications and metals, minerals and chemicals, and with incomes rising by 4.8 per cent in 2000.

And over the next five years the region's improving economy will be led by both North and West Yorkshire each of which will average 2.4 per cent growth per year. Humberside at 2.2 per cent and South Yorkshire at 1.9 per cent will trail.

This year there should be 4,894 more jobs in North Yorkshire and by the year 2004 the report's prediction is that the number of its extra jobs will have risen to more than 15,500.

The report shows that jobs growth in the wider Yorkshire region is expected to resume this year, with 25,000 more vacancies by year end, reflecting growth in the service sector, though there are indications that this is now nearing a peak. The number of service jobs should rise by 1.98 per cent this year but thereafter should remain stable.

Manufacturing employment in Yorkshire will continue its decline over the next five years but at a slower rate. Overall unemployment will eventually "flatten out."

But set against the national perspective the Yorkshire region will be under-performing.

Rob Heyes, Business Strategies' economist, said: "All this means that the regional economy will grow by 2.8 per cent this year, compared with the UK average of three per cent; and by an average of 2.3 per cent over the next five years compared with the UK's 2.5 per cent.

"Non-manufacturing is forecast to notch up growth of 3.3 per cent this year, ahead of the national average. Manufacturing output is expected to pick up, with an increase of 1.4 per cent this year, but that's below the national average."

The Business Strategies prediction seems to confirm the gut feeling expressed by employers in the Yorkshire region about improved job prospects.

A March survey conducted by employment service company Manpower, shows that the region experienced its best second quarter lift in spirits on the issue of jobs for a decade, with 24 per cent preparing to take on more staff.

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