Hiscox: SMEs confident of surviving recession

by Richard Kilner

Story link: Hiscox: SMEs confident of surviving recession

Specialist business insurer Hiscox has commissioned research that reveals more than half of SMEs (54%) within the UK are confident of surviving the recession.

However, 48% of SMEs have taken no special action to try and counter or mitigate the impact of recession and those who have taken steps have shied away from more extreme measures.

More than eight out of 10 SMEs have not cut salaries or discontinued wining and dining clients or bonus payments.

Despite this a mere 7% believe the economy will be improving by the end of the year.

The recession will end by September 2010, according to 45%, and over a fifth (22%) reckon it will continue into 2011.

In the last quarter Japan, France and Germany all surprised forecasters by exiting recession, with the UK’s GDP continuing to decline.

It remains to be seen whether the UK can follow the global trend and end the recession with Q3 growth.