Member Article

Accountants reveal Newcastle's recovery sectors

A study of Newcastle accountants has revealed professional services are topping a chart of recession recovery sectors as the least financially stressed group in the current economic conditions.

The creative industries came second in the list, with the retail sector third.

The survey was commissioned by independent Venture Finance, who asked one thousand UK accountants to rate the extent to which clients in different sectors were under financial pressure.

For those based in Newcastle, out of a maximum score of 1 for the most pressure and 5 for the least, the professional services sector scored an average of 3.32, the creative industries 3.21 and retail 2.91.

In addition, over a third of the accountants surveyed felt that the majority of their current client base could still survive for up to a year in an unchanged climate.

Alison Small, Managing Director of Venture Finance North said: “It is important to recognise that although it remains a difficult time for UK businesses, there are positive signs which should not be ignored. There is life after the recession. Professional services businesses seem to be in the top recovery position because of the specialist skills and abilities they provide.

“It is also encouraging to see greater prudence being employed in financial practices. It would appear business owners have learnt some important lessons during this downturn. People are taking more of a back to basics, common-sense approach to funding and that can only be a good thing.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .