Bosses 'doubt future business prospects' says report

More than 60% of London business leaders believe prospects will not improve in the next 12 months, a survey has found.

The London Chamber of Commerce and Industry (LCCI) asked 128 bosses their view on their company's future.

Of those, only 38% thought their prospects would improve in the next year, the lowest level for three years.

LCCI chief executive Colin Stanbridge said the results were "disappointing but not unexpected".

The survey also found 22% of businesses reported a drop in the size of their workforce during the fourth quarter compared with just 16% reporting a rise.

'Confidence is low'

About 15% expect their workforce to rise in the coming quarter, however 70% said it would stay the same as concerns about the economy was putting off many from employing new staff.

On a positive note, export sales have gone up by 10%. In the domestic market, sales have dropped by 3%.

Mr Stanbridge said: "Clearly these figures are disappointing but not unexpected with the uncertain environment continuing to badly affect businesses across the capital.

"Confidence is low and this is creating a degree of inertia with many continuing to hold off investment in both staff and equipment."

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