Accountancy Survey Reveals Very Little Confidence In The Future Of The Economy

A recent survey on its members by the Chartered Accountants Ulster Society has revealed very little positivity among those who took part. The vast majority of the 270 members that it surveyed believes there is very little to be positive about in terms of economic outlook.

They cited problems such as economic stagnation, steepling costs and government policy (or rather the lack of them) as major factors as to why they were not too confident about the future. The survey was completed before the announcement of US tariffs, which is just as well as the survey could have been even more scathing on the prospects for the economy in Northern Ireland.

Only 8% Of Members View Prospects As Good Or Very Good

Here are some of the findings of the survey, as copied from an article on the Irish News website. it reads that:

‘just 8% (of the members surveyed) viewed prospects as ‘good’ or ‘very good’ – a significant drop from last year’s already low figure of 17%.

‘Some 58% of respondents see the economy as either stagnant (42%) or contracting (16%). Inflation, high energy costs, and rising taxes are the most cited concerns.

‘Three in five (60%)of respondents believe financial distress is rising among businesses, though there are signs of improvement compared to previous years. While financial distress is still high, some members report improving conditions.

‘There is strong support for tax reform to boost competitiveness, with 59% backing devolved corporation tax powers and 64% advocating tax alignment with the Republic to boost competitiveness.

Exit From The EU Still Divides Opinion

‘The UK’s exit from the EU continues to divide opinion for local businesses. Some 41% say Brexit has harmed Northern Ireland’s economy, while only 12% see a positive impact.

‘And while 61% understand Northern Ireland’s unique dual market access as offering trade opportunities, most of those surveyed feel that this potential positive is yet to be realised. The Windsor Framework receives a mixed response, with only one in five businesses viewing it positively.

‘The survey also shows that workforce and skills shortages persist. More than half (56%) of businesses struggle to recruit suitable talent.

‘Many chartered accountants feel the education system is not adequately preparing young people for employment. Employers are investing in training, but 26% believe it is insufficient.

‘The survey also shows that artificial intelligence (AI) and sustainability are gaining traction but present challenges for business (79% believe AI will improve efficiency, but uncertainty remains around investment in AI solutions).’

So not a lot of positivity there from within our industry. As the song goes, “Things Can Only Get Better”.