UK CEOs are optimistic on business growth

UK CEOs are more optimistic about the aspects of the growth of their own companies than they were twelve months ago.

According to PwC’s 20th annual CEO Survey, published at the World Economic Forum in Davos, nine out of 10 (89%) UK CEOs stated that they are positive of their business growth in the year ahead, up from 85% in 2016, and above the 85% global figure and 77% in Germany. A 41%percent of UK CEOs, 8% points higher than last year, described themselves as being ‘very confident’.

On the contrary, only 17% believe that the growth of the global economy will strengthen this year, which is considerably below the 29% global figure and down from 30% in 2016. As a matter of fact, a third (31%) of UK CEOs expect the global economy to go down in the year ahead, up from 23% last year and compared to 17% globally, 14% in the US and 10% in Germany.

The chairman and senior partner of PwC, Kevin Ellis, stated that it is encouraging to see growth firmly on the agenda of UK plc. He explained that they might confront a period of uncertainty, however, the economic fundamentals stay on the positive side. According to Ellis, UK CEOs keep a positive mindset and are optimistic and enthusiastic about the challenges that lie ahead.

The survey conducted among more than 1,300 global leaders, including 126 UK CEOs, discovers that the UK’s popularity with overseas companies is increasing. CEOs from 16 countries see the UK as more essential than last year for their short-term growth prospects. Business leaders in China, Germany, Switzerland, and the US are eager about investing in the UK since it is seen as the fourth most important country for growth. UK’s capital, alongside Shanghai, New York, and Beijing is seen as one of the four most important cities for their businesses growth and prosperity.

The bullishness of UK CEOs is not just in their short-term expectations. 95% are optimistic about their business’s growth prospects over the next three years, compared to 91% globally and 83% in Germany.