IoD: Economic Confidence Of Business Leaders Continues To Edge Up In April
Image by Gerd Altmann from Pixabay
The IoD Directors’ Economic Confidence Index, which measures business leader optimism in prospects for the UK economy, rose to -10 in April 2024 from -12 in March.
This increase sustains the leap upwards that the Index experienced in March, and continues its steady recovery from its recent low point of -31 in June 2023.
Firms’ net investment intentions for the year ahead were also up on the month, rising from +18 in March to +21 in April.
However, the index of business leader optimism for the future of their own organisation declined to +38 in April, down from +42 in March, and net revenue expectations declined from +44 to +40.
Other indicators from April’s survey – cost, headcount, wages and export outlook for the coming year – remained broadly similar to the previous month.
The IoD Directors’ Economic Confidence Index measures the net positive answers from members of the Institute of Directors to the question ‘How optimistic are you about the wider UK economy over the next 12 months?’ on a five-point scale from ‘very optimistic’ to ‘very pessimistic’.
Full survey results
712 responses from across the UK, conducted between 12-29 April 2024. 16% ran large businesses (250+ people), 21% medium (50-249), 22% small (10-49 people), 30% micro (2-9 people) and 12% sole trader and self-employed business entities (0-1 people).
How optimistic are you about both the wider UK economy and also your organisation over the next 12 months?
Very optimistic
Quite optimistic
Neither optimistic nor pessimistic
Quite pessimistic
Very pessimistic
Don't know
Wider UK economy
2.81%
27.25%
30.06%
33.15%
6.46%
0.28%
Your (primary) organisation
7.87%
46.49%
28.23%
13.76%
2.53%
1.12%
Comparing the next 12 months with the last 12 months, what do you believe the outlook for your organisation will be in terms of: