Financial services firms feeling confident about their prospects, study shows

A study from accountancy firm Smith & Williamson has shown that financial services firms are feeling confident about their prospects, with three in four expecting improvements over the next 12 months.

The study of more than 1,000 businesses found that nearly half believe that their prospects will improve significantly over the next 12 months, with businesses feeling mostly positive about recruitment.

Improvement

The survey also explored how financial services firms feel about access to finance and found that 56% believe that there has been an improvement in this area over the past year, compared to just 7% who believe that it has worsened over the same period.

The majority of respondents were shown to be planning to increase their borrowing, with 44% intending to borrow much more over the next year in order to achieve their growth plans.

Businesses are also feeling confident about the UK economy, with more than 40% predicting that it will grow. However, access to talent still remains an issue for financial services firms, with one in five respondents saying that they are struggling to find the skilled workers they need.

Heartening

Smith & Williamson Partner Guy Swarbreck commented: “The sector has been quick to adapt to change with fast-growth businesses, talent and finance flowing into the FinTech sector.”

He added: “Considering the potential, and realised, impact of regular regulatory change and Brexit, it is heartening that financial services firms are so positive about the year ahead.”