Business Insights And Impact On The UK Economy - 23 May 2024

25th May 2024

More than one in five (21%) trading businesses reported that their turnover had decreased in April 2024 compared with March 2024, which is broadly stable from last month; in contrast, 19% reported their turnover was higher, up 3 percentage points over the same period.

In early May 2024, 18% of trading businesses reported that they expect their turnover to increase in June 2024, down 4 percentage points, compared with expectations for May 2024; meanwhile 59% of businesses reported that they expect turnover to stay the same, up 3 percentage points over the same period.

More than a quarter (28%) of trading businesses reported an increase in the prices of goods or services bought in April 2024 when compared with March 2024, up 3 percentage points from last month.

Approximately one in eight (13%) trading businesses reported an increase in the prices of goods or services sold in April 2024 when compared with March 2024, up 4 percentage points from last month; this was the largest proportion reported since June 2023, with many businesses commenting that they have been unable to absorb the cost of the National Living Wage increase.

Fewer than 1 in 10 (6%) businesses with 10 or more employees experienced global supply chain disruption in April 2024, which is broadly stable with March 2024; of those businesses, 38% reported the conflict in the Middle East as the main reason for their disruption, down 3 percentage points from early April 2024, the lowest proportion to report this since the response option was introduced in January 2024.

In early May 2024, 21% of businesses with 10 or more employees reported that they were experiencing worker shortages, broadly stable with early April 2024, but down from the 28% of businesses that reported this in early May 2023.

Read the full ONS report HERE