![](https://www.b4-business.com/wp-content/uploads/formidable/9/2021-2.jpg)
Pandemic rattles the mid-market’s business confidence – again
As restrictions start to be re-imposed as part of the government’s ‘Plan B’ to manage the potential impact of the Omicron variant, new research from Grant Thornton UK LLP’s latest Business Outlook Tracker* finds that profit growth expectations in the mid-market have plummeted to an annual low. Only 33% of 601 mid-sized businesses in the […]
As restrictions start to be re-imposed as part of the government’s ‘Plan B’ to manage the potential impact of the Omicron variant, new research from Grant Thornton UK LLP’s latest Business Outlook Tracker* finds that profit growth expectations in the mid-market have plummeted to an annual low.
Only 33% of 601 mid-sized businesses in the UK surveyed in early December expect to see an increase in profits in the next six months, a significant reduction when compared to July (67%). This is a low not seen since March, and is the lowest level recorded by the Tracker this year.
The latest survey finds that mid-sized businesses are less confident in their future performance than they were earlier in the year. Nationally, confidence around revenue growth within businesses peaked in the summer, with 83% expressing optimism in July/August, the figure plunging minus 17 percentage points to 66% by December.
Views captured in the latest survey were gathered during the initial outbreak of the Omicron variant, just prior to the announcement of the Government’s Plan B measures. This showed that only 64% are currently confident in their company’s funding position, falling -10pp compared to the last Tracker in October and reaching the lowest level since March.
Despite positive forecasts for the UK economy from the OBR, the latest Business Outlook Tracker finds that the mid-market’s confidence in the economy has continued to decline since July (65%, December compared to 79%, July). The bi-monthly research also recorded a significant drop across the whole year, with the number of businesses confident in the economy falling -15pp compared to January (high of 80%).
Jim Rogers, practice leader for Grant Thornton in the Thames Valley, commented: “I’m sure that many Thames Valley businesses had hoped that the upheavals of the past 21 months were behind them, but instead restrictions are back in place, sectors such as hospitality are under severe stress, and inflation is soaring to its highest level for a decade. Despite all these challenges, business leaders in the region have proven themselves to be exceptionally resilient and agile since the first lockdown began and they will have a lot of valuable experience to draw on as they face the challenges of 2022.
“The Thames Valley can also take confidence in the fact that it is home to a number of highly innovative companies as well as advanced sector clusters and business ecosystems that are global leaders in their fields. With the right support and by leaning into the region’s many strengths we know that it won’t be long before businesses in the Thames Valley are feeling optimistic again.”
More in Finance
![](https://www.b4-business.com/wp-content/uploads/2023/11/UNIPARTLOGO-453x255.png)
Unipart announces financial results for the year ended 31 December 2023
Unipart delivers strong growth and revenues exceed £1bn
![](https://www.b4-business.com/wp-content/uploads/2023/11/CharlesStanley-450x255.png)
Charles Stanley ...
Established in 1792, Charles Stanley is one of the UK’s leading wealth management firms, with a rich heritage of delivering high quality client service. Although we are more than 200 years old, we are focused on investing in our future, embracing technology and innovation, and adapting to changes in society to help our clients prosper. Operating from more than 20 branches across the UK we provide bespoke investment portfolios and tailored financial advice at every stage of your financial journey.
![](https://www.b4-business.com/wp-content/uploads/2023/03/Spring-Budget-2023-email-460x212.png)
Your FREE guide to the Spring Budget 2023
Chancellor, Jeremy Hunt’s Budget 2023 revolved around the theme of back-to-work through the extension of free childcare, and the lifting of pension caps.
From this author
![](https://www.b4-business.com/wp-content/uploads/formidable/9/Rachel-Stace.jpg)
Grant Thornton bolsters Private Tax team with Director appointment
Leading business and financial advisory firm Grant Thornton UK LLP have announced the promotion of Rachel Stace to Director of Private Tax. Rachel joined Grant Thornton 10 years ago as an executive and will now take a leading role in growing the GrantThornton Private team’s strong national network of advisors, based in the Oxford office […]
![](https://www.b4-business.com/wp-content/uploads/formidable/9/Isabel-Thomas-1.jpg)
Grant Thornton boosts tax team with new Director
Leading business and financial advisory firm Grant Thornton UK LLP have announced the promotion of Isabel Thomas to Director of Corporate Tax. Isabel will be based at Grant Thornton’s Gatwick office and will be a key part of the corporate tax team’s leadership. This team provides firms with the commercial tax advice required to […]
![](https://www.b4-business.com/wp-content/uploads/formidable/9/Isabel-Thomas.jpg)
Grant Thornton boosts tax team with new Director
Leading business and financial advisory firm Grant Thornton UK LLP have announced the promotion of Isabel Thomas to Director of Corporate Tax. Isabel will be based at Grant Thornton’s Gatwick office and will be a key part of the corporate tax team’s leadership. This team provides firms with the commercial tax advice required to […]