SMEs in Manchester are amongst the most confident in the UK
A new survey reveals that Manchester’s small to medium sized businesses polled believe that increased uncertainty due to Covid has cost them each, on average, £952,520 in lost revenue or turnover over the last year.
With an estimated 22,850 SMEs in Manchester, this figure could equate to a hit of some £21.8bn to the local economy.
Despite this toll, there are clear signs that their overall confidence and financial health are rising— with 48% saying they are more confident about the future of their company compared to this time a year ago. This indicates that the business landscape in Manchester may have turned a corner after a tough year.
Furthermore, the new survey from CitySprint — the UK’s largest same day distribution company — finds a third (33%) of SMEs surveyed in Manchester say their business is in better financial shape compared to 12 months ago.
And their ambition remains undimmed, with over half (52%) planning to grow their business nationally in the next year, and a quarter internationally. But, they are also supporting each other locally to help unlock new opportunities. Over the past twelve months, 64% have looked more locally for their business needs compared to the year before, with 44% of those who did this saying they have sought suppliers from the local area and nearly a third (29%) saying local partners. And looking ahead, 81% believe local support will benefit their business over the next 12 months.
Commenting on the findings of the Manchester’s survey Rosie Bailey, commercial director at CitySprint, said: “It’s clear that with signs of recovery on the horizon and the worst of the pandemic over, businesses in the area are feeling more upbeat about their futures. It’s great to have seen local partners, suppliers and support schemes in Manchester work together to successfully navigate the challenges and hurdles of the past year. Long may this continue!”
Despite the renewed optimism, conditions remain challenging for Manchester’s smaller enterprises over the coming year — with 41% of respondents saying they fear Covid will continue to be a major obstacle to business success, while 17% worry about how Brexit will affect them.
The combined factors of Brexit and Covid have also thrown a spotlight on supply chains, with 29% of Manchester’s SMEs polled saying logistics and/or their supply chain have become more important to their business over the last year. This is especially pertinent given 27% say their supply chain extends internationally in Europe and other parts of the world.
To help them unlock opportunity over the coming year, over a third (35%) of SMEs surveyed in Manchester say more local Government support, in the form of information grants, advice etc, would help their business, while a fifth (20%) say they would most benefit from having access to a better quality of local suppliers.
To find out how the UK’s SMEs are unlocking opportunity during the post-Covid recovery, visit https://www.citysprint.co.uk/collaborate-uk/collaborate-uk-volume-8