A HAPPY economic climate in York is expected for the rest of this spring, according to the latest survey of the city's business confidence due to be published this month.

The survey, conducted by the City of York economic development unit in April, provides a number of reassuring messages about the high hopes of the city's business community when it comes to this year's employment, turnover and export figures.

The details, which will be published in the council's June economic bulletin, show that in spite of setbacks, like the January announcement of the closure of the Monroe shock absorber factory with the loss of 392 jobs, the signs for York remain good.

Even though business confidence always seems to get a boost in April, the "feelgood" factor about jobs, sales and exports is markedly higher than a year ago.

An indicator used in the survey is based on the different ratios between the gloom merchants and the optimists.

Those who foresee turnovers rising were at +40 compared with last year's +34.6; predictions for taking on more jobs were at +17.4 compared with last year's +12.1; and those with high hopes for exporting rose to +50 from last year's + 33.2.

Sector with the best overall performance was banking and financial services where the feelgood ratio was at +47.4 when it come to increased turnover. A balance of +21 firms recruited more staff last quarter (compared with a survey average of +10.4).

This sector also had the highest proportion of firms investing in plant (63.2 per cent) and the highest proportion operating at three quarter capacity or more (90 per cent).

The number of job seekers in York fell in April to 3,783, or 4.5 per cent of the economically active population - a fall of 262 on March and 42 on April, 1999.

While unemployment usually falls in York in April, it is now down by 1,235 compared with April 1997. On the other hand, the survey report will point out that the recent fall in unemployment is slowing, effectively flattening out over the past three months.

But the news does not appear to be so clear-cut on exports by city firms. Only 17.4 per cent of those surveyed said they were involved in exporting, compared with 27 per cent in January. Of these a high proportion - 40 per cent - experienced a rise in exports, but the proportion experiencing a fall also rose (35 per cent)

The figures justify the launch last month of a new North Yorkshire Export Forum which aims to encourage businesses in York and North Yorkshire to realise their potential for overseas sales.