UK business optimism slips to new EU low point
Optimism among UK privately held businesses (PHBs) has fallen to one of the lowest in the European Union, according to a new Grant Thornton report.
The latest International Business Report (IBR) survey – which will be available in full later this year – reveals optimism fell to a percentage balance of 8% this year, down from the 16% recorded a year ago.
According to the data recently made available, this makes businesses in the UK one of the least optimistic communities in the EU and the lowest when excluding economies experiencing sovereign debt troubles - Spain, Ireland and Greece.
David Maxwell, partner at Grant Thornton, said: “With an unstable financial market, a rise in unemployment and access to finance remaining tight, privately held businesses have decreased their expectations to increase staff numbers in their firms. In addition, less businesses in 2011 predict a rise in the price of their goods and services compared to the previous year.”