UK accounting firms predict steady growth in
the next decade but foresee businesses facing more red tape,
according to research by Barclays Corporate.
The report, Business in 2021, found
72% of the 660 business leader’s surveyed predicated steady and
sustained growth over the next 10 years, with no one expecting
negative growth with the majority citing technology as the key
driver of this growth.
More than half (58%) of firms anticipated the
UK to be a better place to do business in 2021 while only 27% of
firms predicted UK businesses conditions would deteriorate and 15%
expected conditions to be similar to today. The majority of
respondents predict businesses will face more red tape.
“It is clear accountancy firms believe
in the fundamental strength of the UK as a place to do business,
and this underlines the temporary nature of the challenges we are
currently experiencing,” Barclays managing director and head of
professional services Jane Galvin said.
The majority (74%) of accounting firm
respondents also predict an increase in foreign ownership of UK
companies and assets over the next decade while 57% anticipate less
global company headquarters in the UK ten years from now.
“The UK has been a magnet for foreign direct
investment for more than two decades bringing both benefits and
challenges. While we can expect more international investment in
the UK to stimulate economic development and job creation, there
also needs to be consideration given to the fact decision making,
research and development and tax generation may be located
elsewhere,” Galvin said.