Financial confidence plummets

A recent survey of 104 companies has shown that optimism among financial sector companies has suffered a sharp drop.

 
The poll highlighted financial market instability, competition from within the sector and larger global economic uncertainty as the top three challenges facing financial services over the coming year.
 
Blame has also been placed on factors such as the Chinese slowdown and the EU referendum. The Bank of England has linked a sharp fall in the value of the pound to uncertainty around the vote outcome.
 
According to the CBI/PwC financial services survey, confidence among the UK’s financial sector is at its lowest since the financial crisis, with banking and investment management as the gloomiest areas, as the survey indicated that banks in the UK are preparing to cut more jobs.
 
George Osborne conceded in the recent budget that UK growth would be much slower than previously expected both this year and next.