Are Investors Still Confident in SMEs Following Brexit?


In the six weeks since Brexit, we’ve seen the resignation of the Prime Minister; Theresa May has been instated; and various financial markets have fluctuated – there’s certainly been a lot to take in!

As with any event of this magnitude, uncertainty was inevitable. And as investor confidence is essential in driving our economy forward, it’s our priority to make sure we recognise British sentiment in order to inform and raise awareness for our network around the changes that could impact the UK financially.

So, to gauge whether Britons are fully aware of what Brexit could mean for their finances and to discover if investors are confident in SMEs in the current climate, we’ve team up with IW Capital to launch Understanding Investor Sentiment in the Wake of Brexit.

Download Understanding Investor Sentiment in the Wake of Brexit, here.

Our in-depth research collected the sentiments of 2,000 UK adults and investors in response to a previous report by Lloyds Bank. The high-street bank’s study found that in the aftermath of Brexit investor sentiment had plummeted in numerous assets and markets, including property (-35.36%), UK shares (-21.75%) and government bonds (-15.58%). Despite insights into these markets, attitudes towards SMEs appear to have been largely overlooked. So we asked our sample whether they would support small to medium sized businesses in the wake of Brexit. In doing so, we found that in spite of market uncertainty, investor appetite for backing British business was resoundingly strong, with the majority stating they would consider supporting SMEs through private investment.

Transforming this positive investor sentiment into action could be key for SMEs looking to kickstart their development plans post-Brexit. Likewise for entrepreneurs, knowing there is investor appetite in their sector and available funds for them to tap into will give them confidence and the conviction to persevere in times of uncertainty.

To find out the results from Understanding Investor Sentiment in the Wake of Brexit, download the report, here.