The majority of East of England businesses expect 2023 to be more successful than 2022, despite challenging economic forecasts, according to the latest data from Lloyds Bank.
More than two-thirds of businesses (70%) said they are confident they would have greater success in the coming 12 months, compared to the past year. Less than a fifth (18%) were not confident about being more successful in 2023 and fewer than one in ten (8%) expected their business to perform at the same level in 2023. The research was carried out between December 1 and December 14 as part of additional polling for the monthly Lloyds Bank Business Barometer.
Firms in the East of England projected a more upbeat outlook for 2023, with over half (57%) expecting a higher turnover than in 2022. One in five businesses (21%) expect turnover to increase by between 5% and 19%, and one in 10 (12%) anticipate turnover to increase by more than 20%.
When businesses were asked what they would do to fuel growth, 85% said they were planning an investment drive. Businesses reported that funding would be used to develop the company (55%), increase wages (29%), and invest in new technology (29%).
Alongside investment, businesses plan on making several New Year’s resolutions. These include keeping a closer eye on costs (51%), followed by retaining existing staff (39%). More than a third (35%) said they are planning to improve productivity, while 13% are investing in paying bonuses and short-term incentives for staff. A third (33%) are intending to target growth from their existing customer base.
Dene Jones, regional director for the East of England at Lloyds Bank said: “It’s clear that businesses in the East have set their eyes on growth next year. Keeping a close eye on costs and investing in their development are among firms’ top priorities, and should prove to be key building blocks for growth.
“Of course, economic challenges remain and these will need to be carefully navigated. But even in the most troubling of times, there will be opportunities for growth to identify and seize upon. This will include investing in sustainability and embracing chances to develop skills, building home-grown talent here in the region. To help 2023 be a year of growth, we’ll be by the side of the region’s firms to offer the practical advice and tools they need to achieve their ambitions for the year ahead.”
