Black Country firms cautiously optimistic ahead of Budget

30 Oct 2025

Published in: Black Country Chamber of Commerce News
Business confidence across the Black Country remains cautiously optimistic ahead of the Budget – but firms continue to face rising costs, recruitment challenges and growing concerns over taxation.

The Black Country Chamber of Commerce’s latest Quarterly Economic Survey shows companies walking a fine line between resilience and realism in the run up to the Chancellor’s Budget speech.

Gemma Edwards, Policy & Impact Officer at the Chamber said the survey – carried out during quarter three – showed that confidence across the region was mixed with a sharp dose of reality.

“Our members are focused on stability and resilience. As the Budget approaches, they remain alert to potential fiscal changes while navigating rising costs and global uncertainty. There is strong awareness of the challenges ahead, particularly around taxation and international developments, but also a readiness to adapt."

Key findings of the Quarter Three survey include:

  • Fewer than 25% of respondents reported growth in domestic and export sales or advance orders.
  • 53% expect turnover to improve in the next 12 months – down from 56% in the first quarter.
  • Most do not plan to increase their workforce in the next three months.
  • Most businesses have stabilised their investment plans for the next three months and will not be increasing investment.
  • The majority expect their prices to remain stable over the next three months and don’t plan to increase them.
  • Labour costs remain the highest concern for employers, closely followed by the cost of utilities.
  • 48% of firms say taxation is among their highest concerns – more than three months ago.

Gemma said recruitment also remained a challenge for many businesses, with 61 per cent of firms saying they had struggled to find new people compared to 55% in the second quarter of the year.

The findings of the latest survey were revealed at a highly-successful event at the Black Country and Marches Institute of Technology in Dudley.

An expert panel including Carolyn Smith, Managing Director of TPSquared, Stephen Deakin, Chief Executive of BCRS Business Loans and Jeanette McFarland, COO of ASSA ABLOY Opening Solutions UK & Ireland, discussed the findings and looked ahead to Rachel Reeves’ Budget.

The Chamber survey is the most comprehensive snapshot of business sentiment in the region. As the leading business support organisation, the Chamber provides platforms and opportunities for businesses to grow, connect and become part of a thriving network.

For more information visit https://www.blackcountrychamber.co.uk/

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