London Business Confidence Takes a Nosedive in July
By a slim two‑point drop, London’s Business Barometer clocked confidence down to 62 % in the month that’s also known for its frosted cupcakes and endless drizzle.
Mixed Feelings About the Future
- Own fortunes? 73 % – firms feel pretty good about themselves, rising three points from June.
- Economic outlook? 50 % – optimism for the wider economy slumped by nine points.
- Overall confidence? 62 % – a slight dip from June’s 64 %.
An encouraging upside: 68 % of businesses say they’ll hire more staff in the next year, a steep climb of 23 points over last month.
What Londoners Are Planning to Do
- Give the team a boost through training – 55 % see this as the top growth lever.
- Revamp or add new offerings – 42 % think of launching fresh products or services.
- Ventures into new markets – 37 % are aiming for fresh horizons.
- Adopt new tech like AI and automation – 37 % have their eyes on that shiny future.
England’s Economic Pulse in July
On a national level, the UK’s business confidence ticks up to 52 %, its highest since 2015—and that’s the third straight month of gains.
- Firms feel better about their own prospects at 58 %.
- Confidence in the broader economy sits at 47 %.
- Wales leads with a robust 76 %, followed by the North East at 73 %.
Service firms are the real movers, climbing an impressive 11 % to 61 %. The positive boost comes mostly from them, while retail, manufacturing, and construction dipped by around 4–8 %.
Statements From the Big Cheese
Kirsty Sadler – “Seeing London’s firms look so confident about their own prospects and hiring plans is genuinely heartening. It not only lifts businesses but also supports the local community. As these companies push for growth, we’re ready to back them every step of the way.
Hann‑Ju Ho – “The upward trend reflects a cautious optimism spreading across the UK. Even with cost pressures lingering, firms are gearing up for growth in the services sector, especially through hiring, tech adoption, and market expansion. Overall, the business environment remains buoyant and ripe for seizing new opportunities.”
