Business confidence is at its highest level in three years, according to The Conference Board of Canada.

The board adds in its most recent survey of consumer and business prospects that Canadian consumers also were confident — more so in January than at any point in 2003. The board said the Index of Business Confidence rose a “startling” 19.2 points last quarter, reaching 146.3; its Index of Consumer Attitudes rose five points in January, to 125.2.

“Increased consumer optimism was obvious in the answers to each of our survey questions, with gains in all regions across the country,” Peter Hall, the board’s director of economic forecasting, said in a statement.

“Optimism in the economy was reflected in the business confidence survey, with Canadian firms more willing to invest,” Hall said. Almost 63% of respondents indicated a willingness to undertake investment – a jump of 18.8 percentage points from last quarter and the strongest increase in three years.

When asked if this was a good time to purchase a major item like a car or home, 60.3% of respondents felt it was a good time – an increase from 57.6% in the December survey. In January, 22.4% cent of respondents felt more jobs would be created in their communities in six months, the highest level since January 2003. Respondents were also more optimistic about their financial future, with 32.5% – the highest level in two years – feeling their financial situation would improve over the next six months.

The Board’s Index of Consumer Attitudes survey was conducted during a six-day period starting January 15. The latest results are based on over 2,000 telephone interviews. The quarterly Index of Business Confidence survey was conducted through the second half of December and is based on results of a confidential questionnaire mailed to approximately 2,000 Canadian business organizations.