- Nearly four in ten (39%) intend to hire new staff over the next five years
- More than 40 percent of SMEs (42%) plan to launch new products to boost their growth
- Over half (53%) of businesses will increase their marketing efforts to grow
Small and medium-sized enterprises (SMEs) in Britain are planning to invest for future growth, according to new research from specialist lending and savings Bank, Aldermore. The new data show SMEs are proactively looking for opportunities to grow over the next five years.
The Aldermore SME Outlook 2016 found that almost four out of every 10 (39%) businesses surveyed intend to hire more staff over the next five years to foster growth, while more than a fifth (22%) plan to invest in new assets such as machinery or vehicles to increase productivity. Furthermore, almost one in five (19%) SMEs intend to grow by joining forces with another business either through a merger or acquisition. Only 14 percent of those questioned claimed that they will not be taking positive action in order to grow their business. With 86 percent , the vast majority of British small and medium firms are in the growth business and making firm plans to achieve it.
Despite a slowing world economy and increasing uncertainty about the future path of the UK economy, partly due to the upcoming EU referendum, the results show that SMEs in Britain are confident that investing in their businesses is the best way forward to strengthen their position in the market. With a significant proportion of SMEs intending to hire new staff, prospects for the UK job market look set to remain strong.
Carl D’Ammassa, Aldermore’s Group Managing Director, Business Finance, said:
“It’s clear that SMEs are being proactive and have strong plans in place to grow their business over the next five years. Not only are they intending to promote their business through increased marketing activity but they are also taking steps to launch new products and hire new staff.
“Whether this is despite of or in reaction to the upcoming uncertainty brought on by the EU referendum is difficult to gauge. However, what is clear is that, these steps will serve to increase the ability of SMEs to continue driving economic growth in their communities and throughout the wider UK economy.”
For further enquiries, journalists can contact:
Alison Rolls, Aldermore
Phone: 020 8185 3129
Constanze Ullmann, Cicero Group
Phone: 020 7297 5978
Notes to Editors:
The SME Outlook 2016 was conducted in conjunction with YouGov and the Centre for Economics and Business Research (Cebr). YouGov survey looks at 1,015 Decision Makers in British small and medium sized businesses. Fieldwork was undertaken between 29th March - 6th April 2016. The survey was carried out online. The figures have been weighted and are representative of business size in Britain.
Aldermore Group PLC is a specialist lender and savings bank offering straightforward products to Small and Medium-sized Enterprises (SMEs), homeowners and individuals, who we believe are often poorly- or under-served by the wider market.
Aldermore has no branch network but serves customers and intermediary partners online, by phone and face to face through its network of regional offices located around the UK.
Building on its core values of being reliable, expert, dynamic and straightforward, Aldermore aims to deliver banking as it should be.
Established in 2009, Aldermore has grown significantly. At the end of December 2015, lending to customers stood at £6.1 billion and customer deposits totalled £5.7 billion.
For more information, please visit www.aldermore.co.uk.
Aldermore Bank PLC is an operating entity of Aldermore Group PLC. In March 2015, Aldermore Group PLC’s shares (ALD.L) listed on the Main Market of the London Stock Exchange.
Aldermore Bank PLC is regulated by the Prudential Regulation Authority and the Financial Conduct Authority and is registered under the Financial Services Compensation Scheme.
For further information about Aldermore, our financial backers and our PR contacts, please review our Notes to Editors page.