Business Confidence Plummets in Fourth Quarter

Posted: 7th February 2011

The latest survey of business confidence from the Institute of Chartered Accountants in England and Wales shows a sharp decline, with production industry confidence having fallen more sharply than that in service industries.
Retailing and construction businesses showed the greatest individual decline in confidence. Two fifths of businesses reported customer demand to be a greater challenge than a year ago, with the greatest decrease being in the banking and finance sector. Ironically, in tandem with weak demand for finance, private companies of all sizes have reported increasing challenges with regard to access to capital.
Recently it was also reported that insolvencies reached a record level of more than 130,000 in 2010.