WEBVTT

00:00:00.000 --> 00:00:02.400
UK business leaders' confidence is at a
crossroads.

00:00:02.720 --> 00:00:06.840
In our third annual survey we found that
83% of leaders feel confident about their

00:00:06.840 --> 00:00:10.160
prospects for the year ahead and 56% are
expecting profit growth,

00:00:10.160 --> 00:00:11.320
both up from last year.

00:00:12.160 --> 00:00:14.080
However this confidence does not extend to the

00:00:14.080 --> 00:00:14.880
broader UK economy.

00:00:14.960 --> 00:00:18.480
57% of business leaders now expect a
recession in the next 12 months,

00:00:18.480 --> 00:00:21.280
while many are concerned about their
rising cost base,

00:00:21.280 --> 00:00:23.120
driven particularly by higher taxes.

00:00:24.080 --> 00:00:26.800
With this in mind,
business leaders are prioritising cost

00:00:26.800 --> 00:00:29.040
cutting,
with 41% planning to cut non essential

00:00:29.040 --> 00:00:29.320
costs.

00:00:29.760 --> 00:00:31.920
This figure has doubled over the past two
years.

00:00:32.880 --> 00:00:35.280
The good news is that while cost cutting
is a priority,

00:00:35.280 --> 00:00:38.120
most business leaders are not yet
planning to reduce headcount or

00:00:38.120 --> 00:00:38.600
investment.

00:00:39.160 --> 00:00:42.360
75% are planning to maintain or even
increase their workforce,

00:00:42.360 --> 00:00:46.240
while only 13% of business leaders say
they do not plan to invest in their

00:00:46.240 --> 00:00:47.280
businesses this year.

00:00:47.880 --> 00:00:51.200
If this approach holds,
it may mean that knock on effects to the

00:00:51.200 --> 00:00:54.640
UK economy are minimised as businesses
grapple with higher costs.

00:00:54.840 --> 00:00:57.920
Read our full report below to see what
else business leaders think about the

00:00:57.920 --> 00:00:58.360
year ahead.