Hutt Valley businesses are reporting it's becoming harder to find skilled labour.

The latest Hutt Valley Chamber of Commerce Business Confidence Survey shows more than a third of businesses are finding it harder to attract skilled staff compared with three months ago.

Chief executive Mark Futter said the region's loosing out in a competitive environment.

"We're competing against the likes of Auckland and Christchurch to keep skilled people here. It knocks the value a terrific amount, because obviously we've got some really high end skills out here in terms of science technology and advanced manufacturing."

The Business Confidence Survey has also shown that three quarters of businesses don't expect the local economy to improve in the next six months.

The lack of confidence in the Hutt Valley economy is mostly being pinned on the disruption from the November 14 quake and severe flooding just days later.

"A double whammy like that just really showed how ill-prepared a number of our businesses are," said Mr Futter.

Although, Mr Futter said it's hard to pin down exactly why the problem's getting worse even after the quake recovery.

He said it could be wages or simply that people don't realise how attractive it is to live in the Hutt Valley.