Three in five (62%) small firms expect to grow their business in 2015 according to research published by the Federation of Small Businesses (FSB). The FSB's Small Business Index finds that while firms are less confident than in previous quarters, they still expect to hire more staff, increase exports and grow their businesses in the first quarter of 2015.
Small firms' productivity grew year-on-year in the second half of 2014, rising by 1.1 per cent in the fourth quarter of the year. This is an encouraging sign for the both economy as a whole and workers in particular, as wage growth is typically linked to productivity increases.
John Allan, FSB National Chairman, said:
"All the signs show that as we head into the New Year small businesses are expecting to grow and take on new staff. But to achieve these positive ambitions small firms will need certainty in the domestic economy including interest rates."
As a headline it sounds optimistic. The survey was made up of results from 1,782 FSB members so it's good sample size.
What does anyone else think? Do you share the FSB's optimism and also concerns about interest rates?
