UK Owner-Managed Businesses Shun Growth in 2023, Cite Disappointment in Government Support, and Limit Capital Investment Plans
A recent survey conducted by the among owner-managed businesses in the UK revealed that a significant majority of these enterprises are not prioritizing growth in 2023. According to the survey conducted by Association of Practising Accountants, 70% of the respondents stated that growth was not their primary focus for the current year.
The findings shed light on the challenges faced by owner-managed businesses and their cautious approach towards expansion amidst the uncertainties in the business landscape. The survey also indicated a worrying trend as 68% of the respondents expressed their reluctance to make substantial capital investments in the upcoming 12 months.
One of the major concerns highlighted in the survey was the perceived lack of government support for these businesses. A staggering 77% of the respondents rated the government’s assistance as poor, citing that it fails to address the unique needs and challenges faced by owner-managed businesses. This sentiment of dissatisfaction among entrepreneurs raises questions about the effectiveness of current policies and their potential impact on the growth of small and medium-sized enterprises.
The survey results also revealed some insights into the factors influencing the decisions of owner-managed businesses. Among the key reasons for not prioritizing growth, many cited economic uncertainties, global supply chain disruptions, and changing consumer behaviors in the wake of the pandemic.
A spokesperson for the research firm conducting the survey said, “It’s evident from our findings that owner-managed businesses are approaching 2023 with caution. The challenges posed by the ongoing economic volatility, coupled with the lack of confidence in government support, have led many entrepreneurs to focus on maintaining stability rather than aggressive growth.”
Industry experts believe that this cautious approach may have broader implications for the overall economic recovery, as owner-managed businesses are vital contributors to job creation and economic growth in the UK. The reluctance to invest significantly in the coming year could potentially lead to a slowdown in business activity and hinder the country’s path to recovery.
The government, in response to the survey results, has assured the business community that it will take the feedback seriously and work towards better supporting owner-managed businesses. Ministers have indicated that they are open to engaging in constructive dialogues with entrepreneurs to understand their specific needs and concerns.
As the business landscape evolves, it remains to be seen how these findings will impact the strategies and decisions of owner-managed businesses in the coming months. Many stakeholders hope that the government will take proactive steps to address the concerns raised in the survey and create an environment that fosters growth and resilience for these enterprises.
Disclaimer: The survey mentioned in this news story was conducted by a reputable business research firm and based on responses from owner-managed businesses in the UK. The findings represent the opinions and sentiments of the surveyed businesses and may not reflect the views of the broader business community.