According to BDO LLP, a leading accountancy and business advisory firm, mid-sized businesses in the Midlands are planning substantial investments over the next five years. Nearly half of them (42%) are aiming to invest over £3 million in order to expand their operations. In a recent Economic Engine survey conducted by BDO LLP, it was found that almost a third (29%) of these businesses in the region intend to focus their investments within the UK.
Furthermore, a significant number of Midlands businesses (27%) are prioritizing securing new capital for growth, including through private equity investment, venture capital, or additional bank loans. Another substantial portion (24%) are focusing on developing new products or services to drive their growth strategies.
With a new government in office, Midlands businesses are urging policymakers to implement measures that will support their expansion plans. In light of ongoing recruitment challenges, approximately 45% of businesses are calling for policies to alleviate workforce pressures, such as reforms to the apprenticeship levy and increased support for skilled worker visas.
Moreover, to enhance access to finance, 40% of Midlands businesses are advocating for the introduction of smaller business banks in the market or greater access to grants. Additionally, 40% are demanding more efforts to promote investment in regions outside of London and the South East. This plea aligns with the recent announcement of the English Devolution Bill, which aims to empower elected mayors in combined council areas.
Kyla Bellingall, regional managing partner at BDO LLP in the Midlands, emphasized the importance of government support for businesses in the region. She stated, “Midlands businesses are focused on growth, but they require assistance from policymakers to ensure the necessary investments are made to fuel their ambitions.” She highlighted the potential for the new government to address regional inequalities and foster economic development.
Overall, the business community in the Midlands remains optimistic about the future, despite past economic challenges and uncertainties. This optimism is underpinned by their strong focus on growth and their readiness to collaborate with policymakers to achieve their expansion goals.
