The Sussex economy is still expected to grow this year despite falling stock markets around the world.

Employers are continuing to recruit and many complain a skills shortage is holding them back.

New chief executive of Sussex Enterprise Mark Froud said employment levels would rise slightly in the county while the economy was predicted to grow at 2.5 per cent.

He said: "Our biggest problem is the accounting scandals and falling corporate profitability in America will have some effect on business in the UK and we don't know how much. Business confidence in the United States is low but in the UK it is growing and in Sussex it remains healthy.

"Employment will remain stable with a fall in jobs in manufacturing being compensated by a rise in jobs in the services sector.

"The UK economy is not expected to grow by nearly the same amount. Part of the difference can be explained by the low number of manufacturing firms in Sussex and the higher than average number of service companies."

The county remains one of the top places for companies planning to relocate, with Horizon Portfolio Management moving into Downlands Business Park at Worthing with a workforce of more than 100.

Company secretary David Owen said:

"We expect to provide additional employment in Worthing through our planned expansion. Our new offices, part of £1.5 million refurbishment following the departure of Daewoo, will provide us with plenty of room for growth."

In its latest survey on jobs in accountancy, financial services and insurance, Crawley-based recruitment firm Alexander Lloyd said new vacancies were being registered daily. The firm had a 13 per cent rise in notified vacancies.

Managerial roles continued to be among the hardest to fill and employers were keen to recruit people with good qualifications even if they were low on job experience.

Graduates could expect a starting salary of about £19,600.

The Association of Graduate Recruiters said the rise in earnings looked set to continue outstripping inflation and predicted average starting salaries would be £20,300 next year.

Overall students graduating this year can expect to be paid between £11,000 and £37,000, with those entering the legal sector starting on £28,000 and those in banking and finance at £23,500.

People going into accountancy looked likely to get the lowest average pay across the major sectors, with salaries starting at about £17,500.

As the graduate recruitment war escalates, about a quarter of companies were offering golden hellos, ranging from £500 to £11,000.