Star comment: Decrease in faith not big alarm
A drop in business confidence among companies in Shropshire should be a cause for concern, rather than alarm.
The business cycle includes peaks and troughs, a period of continuous growth and buoyancy would be abnormal.
And yet growth remains the end game for all businesses and the downturn must be nipped in the bud.
Jobs, communities and the local economy depends upon the success of local businesses. And in an age where the State sector is ever-shrinking, private enterprise is increasingly important.
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Local firms held up well against the backdrop of uncertainty caused by the General Election and the unpredictable result. And they have continued to prosper despite the unease and instability caused by Brexit and our as-yet-unknown future trading relationship with Europe.
Yet now is a time when we would all wish our businesses to be in rude health. Over the coming year-and-a-half, as Brexit negotiations play themselves out, there will be rude awakenings and after-shocks. Our companies may no longer enjoy the tariff-free access to European markets that presently underpins their trading relationships. They may be disadvantaged, they may be in increasingly-competitive markets and deals might be lost.
Conversely, the opportunity to trade more freely with other markets will give local companies a new age of opportunity. The future is unwritten. The future is uncertain.
The resilience of the local economy is being tested and livelihoods are at stake. Shropshire businesses have a good track record and the presence of a disproportionately-high number of small and medium sized businesses is advantageous.
They are frequently light on their feet, able to adapt and quick to turn a profit. Similarly, Shropshire has a good number of prestigious, blue chip companies that provide excellence across a range of disciplines.
They must continue to trade with confidence while business organisations and local councils provide an environment in which they can flourish.
There may be storm fronts ahead and businesses need to inure themselves against the uncertain outcomes of Brexit. The nation’s economy remains fragile, there are large debts still to pay and only the toughest will survive.
Shropshire must play to its strengths. It has a skilled workforce, good infrastructure and a go-getting attitude that helps the region to punch above its weight. Strong minds, calm heads and confidence in decision-makers will turn challenges into opportunities.
The recent fall in confidence has been tangible, we must work together for the good of the county.
