S&W's latest The Business Owners Sentiment Survey (The BOSS Report) found that almost nine in ten East of England business owners (88%) surveyed expect their business to grow over the next 12 months, with 54% anticipating significant growth and a further 34% expecting modest growth. The survey was conducted among 500 UK business owners at companies with annual turnovers ranging from £500m or more down to £5m, and included 50 respondents from across the East of England.
That optimism is particularly notable given the concerns business owners have expressed ahead of the Autumn Budget. In the East of England, 40% of business owners surveyed would consider moving their business abroad if taxes are increased further. In addition, 46%1 of business owners surveyed said they would be deterred from starting a new business if higher capital gains tax rates are introduced at the Autumn Budget.
The research found that 48%1 of East of England business owners surveyed believe the UK is becoming a more attractive place to start, grow and own a business than it was a year ago.
While growth expectations remain highly positive amongst East of England business owners, they remain alert to a range of challenges. Cross border trading challenges and higher employment costs were jointly identified as the biggest challenges currently being faced by businesses surveyed in the region (both 30%), followed by business rates rises (28%) and labour or skills shortages (24%). Global political uncertainty was also highlighted as a significant concern (20%).
The survey also found strong support for greater local decision-making, with 64%1 of East of England business owners surveyed saying that giving regional and local government greater control over local taxes would make businesses more likely to invest, expand or create jobs in their area.
Stephen Drew, Regional Managing Partner at S&W, said: "Businesses across the East of England continue to demonstrate confidence in their future prospects despite operating against a backdrop of economic uncertainty and rising costs. The fact that the overwhelming majority of business owners still expect growth over the coming year highlights the resilience, adaptability and ambition that characterise the region's business community.
“For many businesses, the challenge is not a lack of ambition but securing the people, skills and capacity needed to turn growth plans into reality. Employers are balancing rising costs with the need to attract talent, invest in their organisations and remain competitive in increasingly demanding markets.
"The focus in the Autumn Budget should be on creating an environment that supports investment, encourages business expansion and provides employers with the confidence they need to create jobs and drive long-term economic growth across the region."
‘Strongly agree’ and ‘Somewhat agree’ responses combined
