Business Barometer for December 2007 shows:
• Firms’ pessimism about UK economy worst since December 2002
• Confidence in firms’ own business performance nudges upward but still below-trend
• Increased pessimism among distribution firms but sentiment strengthens in the service and industrial sectors.
Despite a slight upturn in expectations for their own business performance, UK firms’ optimism about the wider UK economy nose-dived in December, according to the latest Lloyds TSB Corporate Markets Business Barometer.
The percentage of firms feeling pessimistic about the general economy soared from 28 per cent to 51 per cent which matches the worst ever survey outcome last seen in December 2002. In addition, the number of firms expressing confidence in the economy fell by 10 per cent from 44 per cent in November to 34 per cent. Overall, the balance of firms feeling optimistic rather than pessimistic, fell by 33 per cent, from plus 16% to minus 17% during the last month of the year.
(source : Lloyds TSB)
