Monday 7th September, 2015

According to research by the professional body for Chartered Accountants (ICAS) and law firm DLA Pipe, just over half of the UK's Finance Directors (58%) believe that we will see modest growth (1%-2.5%) over the next twelve months.

The survey polled over 100 FDs and CFOs found, confidence in the economy's growth prospects is significantly down on last year, when 58% of Finance Directors expected to see either strong or modest growth.

The problem of skills shortages was rated as the biggest barrier, "staff recruitment and retention" featured in the top three issues on the FDs' personal agenda, just after "controlling costs" and "growing revenues".

Anton Colella, ICAS CEO, said: "The new number one at the top of Britain's risk registers is the difficulty of recruiting the right staff with the right skills to grow our economy. The skills gap is not just a problem in construction, manufacturing and technology but a red flag across almost every sector in the UK."

"If we are to ensure sustained growth in the UK economy then this must be addressed and it requires a concerted effort by business, government, education, and the workforce."

Weak confidence, among consumers and in the business sector, is seen as another significant barrier to growth. Also cited were red tape and regulation, the slowdown in Chinese growth and uncertainty over the UK's future in the EU.

Controlling costs, growing revenues and staff recruitment and retention were once again highlighted as the top three priorities facing FDs.