6th January 2017
Export ambition lacking and SME funding running low this January
As our blog readers may remember, the Davenham team used to compile a weekly economic update to keep you informed on the latest goings on in the world when it comes to funding and the economy. With a new year upon us, we thought it was about time we brought bring back something similar, and begin to issue a simple financial summary highlighting key points effecting our clients and contacts. So, without further ado, read on to learn about the main financial issues in the papers this week…
Regional SME funding running low
Civitas is calling on the Government to pump fresh funding into responsible finance providers (RFPs), warning that over half of their funding streams, including from the Government's Regional Growth Fund, are due to run out this year despite a huge increase in demand. In 2015 RFPs provided £98m to 11,440 SMEs, 86% of which had been turned down by a high street bank – a great statistic which we at Davenham hope to see increase further in 2017.
The Times, Page 39 and The Daily Mail, Page 62 – 03.01.2017
Bankers’ bonuses to be cut
Banks are set to cut bonus pay-outs to staff by £1bn this year, according to new research. City pay experts say bonuses are likely to be cut following a poor year for investment banks and amid continuing public distaste at the extraordinary sums earned by top bankers. Jon Terry, a partner at PwC, has estimated that “bonuses at European banks will be down 15 to 20%.” but in contrast, U.S banks such as JP Morgan and Goldman Sachs are likely to increase their year-end payments - in some cases by as much as 10%.
The Mail on Sunday, Page 89-90, 03.01.2017
Economists gloomy on prospects for 2017
An FT survey has found most economists predict slower growth in 2017, higher inflation due to a fall in sterling and reduced wage growth, while Brexit uncertainty will hit business investment. Meanwhile, a report by Lloyds Bank has found that economic uncertainty remains the biggest threat facing the UK’s small businesses in 2017.
Financial Times, Page 1, Independent I, Page 43 – 03.01.2017
UK businesses lack export ambition
Research by the ICAEW suggests the share of UK companies selling goods and services abroad has stagnated over the past two years, with 53% of businesses exporting in 2016, unchanged from 2014. Stephen Ibbotson, the ICAEW’s director of business, called for more incentives for companies to export in a post-Brexit world.
The Daily Telegraph, Business, Page 1 – 03.01.2017
If you have any queries as a result of this summary regarding how it may affect you, our expert team will be more than happy to help – simply get in touch. In the meantime, keep your eyes peeled for our next update, and do let us know of anything specific you feel may be of interest on Twitter or LinkedIn.
Regional SME funding running low
Civitas is calling on the Government to pump fresh funding into responsible finance providers (RFPs), warning that over half of their funding streams, including from the Government's Regional Growth Fund, are due to run out this year despite a huge increase in demand. In 2015 RFPs provided £98m to 11,440 SMEs, 86% of which had been turned down by a high street bank – a great statistic which we at Davenham hope to see increase further in 2017.
The Times, Page 39 and The Daily Mail, Page 62 – 03.01.2017
Bankers’ bonuses to be cut
Banks are set to cut bonus pay-outs to staff by £1bn this year, according to new research. City pay experts say bonuses are likely to be cut following a poor year for investment banks and amid continuing public distaste at the extraordinary sums earned by top bankers. Jon Terry, a partner at PwC, has estimated that “bonuses at European banks will be down 15 to 20%.” but in contrast, U.S banks such as JP Morgan and Goldman Sachs are likely to increase their year-end payments - in some cases by as much as 10%.
The Mail on Sunday, Page 89-90, 03.01.2017
Economists gloomy on prospects for 2017
An FT survey has found most economists predict slower growth in 2017, higher inflation due to a fall in sterling and reduced wage growth, while Brexit uncertainty will hit business investment. Meanwhile, a report by Lloyds Bank has found that economic uncertainty remains the biggest threat facing the UK’s small businesses in 2017.
Financial Times, Page 1, Independent I, Page 43 – 03.01.2017
UK businesses lack export ambition
Research by the ICAEW suggests the share of UK companies selling goods and services abroad has stagnated over the past two years, with 53% of businesses exporting in 2016, unchanged from 2014. Stephen Ibbotson, the ICAEW’s director of business, called for more incentives for companies to export in a post-Brexit world.
The Daily Telegraph, Business, Page 1 – 03.01.2017
If you have any queries as a result of this summary regarding how it may affect you, our expert team will be more than happy to help – simply get in touch. In the meantime, keep your eyes peeled for our next update, and do let us know of anything specific you feel may be of interest on Twitter or LinkedIn.