UK SMEs face stagnant overseas sales in Q3 2023: BCC

29 Oct '23

1 min read

Pic: Adobe Stock

Insights

UK's SME exporters saw a stagnant overseas sales environment in Q3 2023.
Nearly half reported no change in sales, while 25 per cent saw a decline.
The downturn, exacerbated since Brexit, is acute among SME manufacturers, a segment where 28 per cent saw a decline in exports, compared to 27 per cent who saw an increase and 45 per cent who noted no change.

Nearly half (49 per cent) of UK’s SME exporters reported no change in overseas sales in the third quarter (Q3) of 2023, while a concerning 25 per cent saw a decline, according to the British Chamber of Commerce’s (BCC) Trade Confidence Outlook. Only 26 per cent of these firms experienced an increase in overseas sales for the quarter.

This stagnant performance isn't new; it has been almost five years since the last time more than 30 per cent of firms reported an increase in overseas sales, dating back to Q4 of 2018. The findings reveal that the UK’s export scenario has been broadly static since the onset of the COVID-19 pandemic. Notably, the proportion of SMEs experiencing decreased sales is consistently 10 percentage points higher now than in the 2017/18 financial year.

The situation began to deteriorate further in the lead-up to Brexit and has remained at this elevated level. This downturn is particularly acute among SME manufacturers, a segment where 28 per cent reported a decline in exports, compared to 27 per cent who saw an increase and 45 per cent who noted no change, as per BCCs outlook.

Fibre2Fashion News Desk (DP)

More British Chamber of Commerce News... More Textiles News - United Kingdom...