Confidence amongst UK small firms is ‘rebounding’, according to a survey carried out by the Federation of Small Businesses (FSB).
In the first quarter of 2018, the FSB’s Small Business Index (SBI), which monitors business confidence, stood at +6, up from -2.5 in the last quarter of 2017.
The SBI indicated that confidence amongst UK small businesses rose as a result of progress in regard to the government’s Brexit talks, and lower inflation levels.
32% of businesses surveyed believe that their performance will improve over the coming three months, whilst 40% predict that their performance will remain the same. 27% are ‘lacking in confidence’ in regard to the next quarter, the FSB found.
Meanwhile, 67% of firms reported that their revenues are either increasing or are stable, and 50% revealed that they plan to expand their business over the coming 12 months.
Commenting on the findings, Mike Cherry, National Chairman of the FSB, said: ‘After a 2017 dogged by spiralling prices and political uncertainty, it’s good to see small business confidence back in the black. The resilience of the small firms and self-employed entrepreneurs that make up 99% of UK businesses has lifted economic forecasts for the coming 12 months.’