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News - 21 March 2012

Small Businesses Ready to Employ Again

According to the latest research by the Federation of Small Businesses (FSB), small firms are ready to hire staff again as recession fears dwindle.

In a poll of more than 3,000 business owners, they found that the number of small businesses looking to take on staff in the next three months was the highest since the summer of 2010, largely caused by firms anticipating a rise in sales and an upswing in business confidence.

The latest survey by Manpower  — based on 2,100 responses from employers of all sizes — appeared to echo the FSB’s results, with the recruiting firm saying that the labour market “may have turned a corner”.

However, small business groups said high unemployment indicated a still uncertain economic outlook, with many businesses reluctant to commit themselves to expansion.

This month, official data from the Office for National Statistics showed that unemployment rose by 28,000 to 2.67 million in the three months to January.

The British Chamber of Commerce chief economist David Kern urged the Government to do more to encourage the private sector to create jobs and bolster business confidence amongst small firms, such as scrapping the proposed business rates rise in April.

The Confederation of British Industry (CBI) also called for government action, pointing out that employment had remained “broadly flat” over the past three months.

If you need any help and advice on Business Plans, Management Accounts, Budgets and Cash Flow Forecasts, contact Lavinia Newman, Stuart Coleman or Tonmoy Kumar NOW to discuss how ABDS can help in all your financial planning.

ABDS Chartered Certified Accountants of Southampton.
Tel: 023 8083 6900  E-mail: abds@netaccountants.net
 

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