A NEW report shows that the private sector economy in the North West registered an expansion of output and new business during September.

But despite business activity remaining positive and order book levels recovering, jobs continued to be shed during the month.

The facts are in a PMI (Purchasing Managers' Index) North-west report produced for the Royal Bank of Scotland by NTC Research.

Companies can receive it free of charge each month by registering online at http://www.rbs.co.uk/pmireports

Margaret Holligan, Senior Economist at the Royal Bank of Scotland, said: "Growth in activity levels continued during September and the level of new orders received increased for the first time since May, providing positive news for the North-west economy.

"However, output and demand growth in the region remains slower than the average recorded for the UK as a whole, with expansion of new business insufficient to promote jobs growth."