The UK’s economy is continuing to grow but the recovery must become less reliant on consumer spending, a key business survey has suggested.
The quarterly poll of 8,000 firms by the British Chambers of Commerce (BCC) reports that service exports are at an all-time high and many key manufacturing balances are also at record levels, showing that growth is strengthening in the short term.
However the survey also warned the recovery must become more balanced in the months ahead as it is still too reliant on consumer spending. Access to finance remains a critical issue for businesses as they look to expand, the report added.
The quarterly economic survey also noted concern at the significant drop in the employment balance in the services sector .
Commenting on the results, BCC director general John Longworth said: “It is great to see another positive story as we enter the 25th year of our survey. Confidence is high and our members are determined to continue driving the recovery. We are brilliant at services and very successful at exporting our knowledge-based industries all over the world.
“But UK firms are ambitious, and more support is needed if we are to place the recovery on a sustainable, broader footing in the medium-term … Given that over the next year or so we face political change at home and abroad, long-term policies that support our businesses as they look to grow and invest are crucial.”
via The Guardian