According to new research by Clydesdale Bank, over half (59%) of the businesses questioned in the region expect to increase turnover in the year ahead, despite just over a quarter (28%) being confident the economy will return to healthy growth.
[Pictured: Martin Guildford, Managing Partner of Clydesdale Bank’s Cambridge Financial Solutions Centre.]
Despite concerns about the economy, 39% are planning to invest at least five per cent of turnover back into their business in the next 12 months with the leading investment priorities being new staff (39%), training (30%), new equipment (29%), and developing new products and services (25%).
The most pressing concerns for businesses in the East of England are fluctuating fuel prices and rising corporation tax, with just over a quarter (26%) and more than a fifth (22%) citing these issues as the key factors in their businesses’ future growth respectively.
Martin Guildford, Managing Partner of Clydesdale Bank’s Cambridge Financial Solutions Centre, said: “Businesses in this region are clearly more confident about their own prospects and in control of their own destiny, than they are for the wider economy, despite the impact of rising fuel and materials prices.
“Our research highlighted what businesses in the East feel will help them and the economy, with increased consumer spending and confidence (22%) and low interest rates (20%) coming out as the key drivers to economic growth. It is inevitable that there will continue to be bumps in the road to economic recovery, but UK businesses should continue to focus on their own strengths.”
Across the industries, IT and telecoms businesses appear to be the most confident with more than half (51%) expecting increased turnover of at least five per cent in the next 12 months. Healthcare and education businesses are the least confident with only 32% and 23% respectively expecting similar growth.
This is mirrored in their investment intentions, with 59% of IT and telecoms businesses planning to invest at least five per cent of their turnover back into the business compared to only 27% of education-focused businesses.
Martin continued: “Clydesdale Bank is working with companies across the region, which have the confidence to invest so they can target new markets, launch new products or take on more staff.
“Our commitment to supporting trading businesses is stronger than ever and we continue to attract growing numbers of owner-managed small and medium sized businesses plus mid-corporates. Good businesses with strong management and robust business plans will generally find support. This is evidenced by the fact that we recently met our promise, three months ahead of schedule, to deliver our two-year pledge to advance £10 billion of new lending to business and personal customers."
This further support for small businesses builds on Clydesdale Bank’s Investing for Growth support package which it introduced last spring and offers both new and existing business customers a dedicated planning service and a more flexible approach to lending. Loan repayment holidays, interest-only repayments and extended loan and credit facilities are just some of the flexible support options available under the Investing for Growth initiative which also includes a dedicated financial planning service.
* The research was carried out between June 13, 2011 and June 27, 2011. Sample: 1,321 UK Adults working in companies with a turnover of at least £1 million.
Clydesdale Bank
Clydesdale Bank is part of the National Australia Bank Group. Clydesdale Bank was established in 1838 in Glasgow and, as one of Scotland’s largest banks, has a proud history of innovation and support for Scottish industry and communities as well as a significant presence in London and the South of England. With its sister bank, Yorkshire Bank, Clydesdale has 339 retail branches across Scotland, the North of England and the Midlands, and 73 Financial Solutions Centres throughout the UK, which offer customers a highly integrated business and private banking service.
Financial Solutions Centres
Financial Solutions Centres (FSC) focus on the communities in which they operate. Each of the UK-wide network of 73 FSCs offers a tailored range of business and private banking services under one roof. A team of specialist partners provide customers with end-to-end solutions for all of their banking needs. Each customer benefits from the in-depth expertise of a dedicated relationship partner who takes the time to get to know them and their business and is able to make fast, local decisions. In addition to banking services, the FSCs also operate as a hub for local business, with a range of networking opportunities and meeting facilities available as a benefit of membership.
Clydesdale Bank Financial Solutions Centre in Cambridge is a Founder Member of the Elite Cambridge Business Circle.
Founded in 2009, we celebrate and report the wealth and rich diversity of business and entrepreneurial excellence that abounds here in Cambridgeshire.
Frazer Coogans Commercial Solicitors senior partner Norman Geddes (above left) is executive chairman of the Elite Cambridge Business Circle, and managing director is public relations consultancy Fame Publicity Services proprietor Murdoch MacDonald (above right).
www.CambridgeshireBusinessNews.com
0 comments:
Post a Comment