The results from Dun & Bradstreet’s April Business Expectations Survey have highlighted another drop in expectations, with businesses maintaining gloomy forecasts for the three-month period to 30 September 2016. Meanwhile, the Actuals index has also experienced a sharp fall, with the figure dropping to its lowest point since June 2013.
Dun & Bradstreet’s Business Expectations Index, the average of the survey’s measures of Sales, Profits, Employment and Capital Investment, has fallen to 9.6 points for the third quarter of 2016, down from 12.7 points for Q2 2016 and 17.6 points in Q3 2015.
According to Stephen Koukoulas, Economic Adviser to Dun & Bradstreet: “Business expectations took a further step lower in April as did the reporting of ‘actual’ activity. Most disconcerting was a slump in both actual and expected profits, which have dipped to multi-year lows.”
“Business optimism has clearly soured in the past few months to the point where sales, expected selling prices and employment have also slowed markedly. It is not clear what is driving this less optimistic tone, but a lack of economic policy resolve from the government, and the inevitable uncertainty that will accompany what will be a very long election campaign, are no doubt weighing on confidence,” Mr Koukoulas added.
To read the full report click on this link: DB Business Expectations Survey – Q3 2016 prem