Following the results of last week’s general election which has left the UK with a hung parliament, the IoD (Institute of Directors) polled its members to discover how business leaders are feeling about the results.
The poll, which nearly 700 members of the IoD responded to, revealed a dramatic drop in business confidence and concerns over how the political uncertainty alongside existing Brexit concerns will impact the UK economy.
Business leaders are concerned about economic conditions in the UK
The results of the poll showed that, for directors, the biggest concern of the short-term hung parliament is not their businesses but rather of the UK economy; with 65% of respondents saying they are ‘significantly concerned’ about the UK economy following the UK election results. This is in comparison to 28% who said that they were significantly concerned about their business or organisation in the current parliamentary climate.
The poll also asked respondents which factors, if any, are having a negative impact on their organisation and the top three were as follows:
- UK economic conditions – 53%
- Uncertain trading status with the EU – 46%
- Skills shortages/employee skill gaps – 40%
Unsurprisingly, the economic conditions in the UK and the current uncertain trading status with the EU following the Brexit vote came out on top. More surprisingly, the poll revealed that a skills shortage/employee skills gap was third on the list. This could be good news, however, for contractors with specialist skills as organisations may look to recruit temporary staff on a contract basis.
How can ClearSky Contractor Accounting help?
We may not be able to tell you what the future of the UK economy or the Brexit negotiations will hold, but if you have any concerns relating to your limited company following the recent election result, we’re more than happy to help. Simply get in touch with your dedicated accountant or speak to our best advice team on 0800 464 0372.
Full survey results can be found on the IoD website.