One in ten small firms in Wales are already experiencing an upturn in trade, according to a new survey.

Research carried out by the Forum of Private Business has found that while some of the country’s small businesses are still shedding jobs and cutting costs, 11 per cent are already seeing an increase in orders and sales.

Additionally, 22 per cent expect to see an increase in business in the next three months and almost half (44 per cent) of Welsh FPB members surveyed anticipate a much-needed upturn over the next year.

The research, carried out as part of the FPB's quarterly Referendum survey, found 18 per cent of small businesses in Wales are still looking to reduce staffing costs, either through redundancies and reduced working hours or through measures such as cutting perks and bonuses.

However, only six per cent expect they will still be doing so in three months’ time and no respondents said they thought they would be taking such measures by September 2010.

And 11 per cent of Welsh small business owners said they are already recruiting new staff, with 28 per cent expecting to do so over the next 12 months.