London's SMEs 'Most Confident In UK'

Capital's SMEs Expect Staff And Turnover Growth In 2015

20.01.2015

SMEs in London are the most confident in all the UK about their prospects for the year ahead, according to new research from npower.

The energy company found that SMEs in the capital have the highest expectations for increased turnover in 2015, as well as the greatest confidence that they will be able to find skilled employees.

Some 61% of London's SMEs expect to see an increase in turnover, against the national average of 50%, while 38% believe they will take on more staff – almost double the national figure of 21%.

Jason Scagell, director of npower Business, said while the figures are encouraging for the economy as a whole, it should be remembered that businesses in the capital face a "unique set of pressures".

"Long-overdue changes to business rates announced in the Autumn Statement are certainly going to be welcomed by the large majority of London SMEs, but our research shows that they are also calling for further measures, such as increasing the amounts that banks lend to smaller businesses," he said.

Expert Opinion
These findings demonstrate there is much positivity in London at present, with the capital clearly appearing to be a location where small businesses are gaining much success at present.

"However, while this is welcome news for London firms, the national situation should not be ignored. It is very positive to see that half of SMEs are expecting a turnover increase and that a fifth also expect to take on more staff.

"It must be remembered though that there are many factors to consider when looking to grow or expand and SMEs should always seek specialist advice to ensure they remain on the right track. Legal experts can help on numerous matters which could arise through recruitment, from employment and HR to the specifics when moving to larger premises."
Fergal Dowling, Partner