Telephone iconCall UsTelephone icon0333 0146 683
Our opening hours
Chevron left icon
Press Releases

Brexit survey reveals small business uncertainty

2-minute read

Simply Business

18 April 2019

Facebook iconTwitter iconLinkedIn icon

brexit businesses unsupported

SMEs admit lack of support has set up twice as many redundancies as hirings

  • Three quarters (76%) of SMEs admit to feeling unsupported ahead of Brexit
  • Just 1 in 5 (20%) of SME owners know where to look for advice on Brexit
  • Over a third (35%) of business owners have decided to delay growth plans
  • A third (31%) of SMEs are already feeling the impact of Brexit
  • 1 in 5 (19%) of SMEs are on the brink of shutting down their business due to lack of support around Brexit

With Brexit set to face a delay, the majority of UK SMEs are still completely in the dark over what to expect, or how to better prepare for life after Brexit, according to new research released today.

According to a survey of 1,200 SME owners across the UK, commissioned by small business insurance specialist Simply Business, three quarters (76%) of self-employed people admit to feeling unsupported ahead of Brexit as they ahead to an uncertain future.

There were 5.7 million SMEs in the UK in 2018, which is 99% of all British businesses according to Parliament UK’s Business Statistics Report. The majority of our nation’s small business owners have been left in the wilderness, as only 1 in 5 (20%) admit they know where to look for advice on how to safeguard their business’ future.

Many have taken an air of caution before looking too far into the future. A third (35%) of business owners have decided to delay growth plans and further investment in their business, citing the lack of certainty as making it difficult to plan too far ahead.

Worryingly, 8% stated that they’re having to make redundancies to cut costs, double that of the 4% (228,000) that are looking to hire new staff.

A third of small business have felt negative impact

The uncertainty around Brexit has already caused immeasurable damage to some SMEs, with a third (31%) claiming to have felt a negative impact even before we have officially left the European Union. For those that have gone beyond balancing the books, an alarming fifth (19%) of SMEs are on the brink of shutting down their business due to the lack of support and guidance around Brexit. A staggering 2 in 5 (40%) of those that are yet to feel the impact of Brexit have admitted they are expecting to feel the impact before the end of this year.

Self-employed are the backbone of the British economy

Bea Montoya, COO at Simply Business, said “There isn’t a blueprint for what happens after Brexit, which is particularly challenging for the UK’s 5.7m hardworking SMEs.

“The self-employed are the backbone of the British economy, and they deserve more support and guidance – after all, it's they who employ the majority of the UK workforce. A workforce which, according to our survey, is potentially at risk. Surely the government can clarify guidelines for what steps SMEs should take?"

Although the minority, 1 in 12 (8%) business owners are predicting that post–Brexit, they’ll see a positive impact on their business. Indeed, 1 in 7 (14%) SMEs say they’re already seeing an increase in sales and orders during Britain’s exit from the EU. It is claimed that Brexit is set to open lots of new opportunities for businesses in Britain, however, just a fifth (20%) of small business owners are currently looking to explore different markets.

For further information, please contact:

Frank PR

+44 20 7693 7433

[email protected]

About Simply Business

Simply Business is one of the UK’s biggest business insurance providers, specialising in public liability insurance for SMEs and insuring over 700,000 small businesses and landlords across Britain.

Launched in 2005, Simply Business provides an online brokerage service, delivering policies tailored to individual business requirements. Using the power of tech and data to create the best possible customer experiences, Simply Business employs over 600 people across offices in London, Northampton, and Boston in the US.

Owing to its internal underwriting capability, Simply Business can cover over 1,000 trade types – ranging from plumbers to accountants to dog walkers. An accredited B Corp for their positive social impact, Simply Business has also been voted the Sunday Times Best Company To Work For twice in a row.

We create this content for general information purposes and it should not be taken as advice. Always take professional advice. Read our full disclaimer

Find this article useful? Spread the word.

Facebook icon
Share
Twitter icon
Tweet
LinkedIn icon
Post

Keep up to date with Simply Business. Subscribe to our monthly newsletter and follow us on social media.

Subscribe to our newsletter

Insurance

Public liability insuranceBusiness insuranceLandlord insuranceTradesman insuranceProfessionals' insuranceNot for profit insuranceRestaurant insuranceCommercial van insuranceInsurers

Address

6th Floor99 Gresham StreetLondonEC2V 7NG

Sol House29 St Katherine's StreetNorthamptonNN1 2QZ

© Copyright 2020 Simply Business. All Rights Reserved. Simply Business is a trading name of Xbridge Limited which is authorised and regulated by the Financial Conduct Authority (Financial Services Registration No: 313348). Xbridge Limited (No: 3967717) has its registered office at 6th Floor, 99 Gresham Street, London, EC2V 7NG.