Chris Morris, Managing Director of NGI Finance, a specialist provider in business finance solutions, is delighted to share his thoughts and predictions on what he is expecting over the next 12 months.
“In the past 4 to 5 years January has been a month of pessimism rather than optimism. With so many negative conversations around the economy and business landscape it was easy for business owners to be dragged into negative thoughts which in turn resulted in poor business performance. However, January 2024 feels completely different.
Firstly, inflation figures are trending in the right direction and I have recently read a report from industry experts suggesting that business confidence is rapidly increasing. From a business perspective we have experienced this first hand as we have seen a large number of new but varied finance enquiries come in since our return on 2nd January. This has been further helped by the softening in interest rates which has encouraged businesses to look to secure funding sooner than they had initially thought possible.
If we look at the residential property market, there has already been a wave of excitement as lenders are buoyant with the reduction in rates. Deals for both new personal mortgages and re-mortgages are on the rise. It is always interesting to see the effect a positive housing market has on other sectors. The construction industry is one which sees broad benefits and when you consider this plays a major role in the UK economy it further demonstrates that brighter times are here.
Other encouraging signs are the mention of general tax cuts and predications of an election taking place towards the end of the year. The talk of an impending election yields positivity as this will often bring better opportunities for business growth and resurgence across multiple markets.
In recent days there has also been some positive talks about inflation and although this will take some time to properly embed, leading financial institutes are already predicting that benefits are likely to be seen during the Spring and Summer months.
So, all in all January certainly should not bring deep depressing thoughts in fact it should be the complete opposite. As we have already mentioned the Construction industry is moving in the right direction and so too is the Manufacturing sector, these 2 always have a major impact on our economy. With lots of liquidity in the market and a softening in rates, the investment levels will continue to prosper and businesses can commit to fulfilling some exiting growth plans.”
Our team are on hand to offer support, advice and guidance to all aspects of business finance. To find out more please call us on 01993 706403 or e-mail enquiries@ngifinance.co.uk.
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