Stagnant Economy Signals for Businesses to Invest Wisely

With uncertainty still abound in the UK economy, it should come as no surprise to businesses that GDP and forecast remain fairly stagnant. With a Brexit trade deal still be negotiated, it’s difficult for experts to predict how well the economy will fair over the coming months and beyond. Midland Pallet Trucks is urging firms to take this time to focus on how they can streamline productivity.

The latest figures from the Office of National Statistics revealed that the UK economy grew by just 0.2% in the three months to the end of May. However, this growth was driven by the services sector, with both production and construction sectors contracting by around 1% each, while agriculture remained stable. Further building on this, the EY ITEM Club expects the economy to grow by 1.4% throughout 2018, which would be the weakest performance since 2012.

Phil Chesworth, Managing Director of Midland Pallet Trucks, said, “With so much uncertainty in the economy, businesses should take the opportunity to take a step back and look at where they can save money. Assessing productivity and investing in areas that will save money in the long run without hampering current operations will place firms in a positive position whichever way that economy goes. With a streamlined approach, businesses can keep up with their existing orders and contracts while saving time and resources.

“With Brexit uncertainty, it’s easy for businesses to carry on as normal as they await confirmation of how a deal will look. But proactive businesses that are already considering both potential opportunities and challenges will be those that do better in both the short and long-term.”

While the UK and EU have stated that progress is being made in Brexit talks, Prime Minister Theresa May has admitted that there could still be a no deal outcome. With the UK set to leave the EU in March 2019, the October EU summit will be likely to last opportunity for an agreement to made without an emergency summit being made. It places businesses in a difficult position.

Chesworth added, “Operating a business without knowing what potential trade deals are going to be place is difficult, but it is possible to prepare and thrive even as the economy remains stagnant. Investing in equipment, such as hand pallet trucks, can save money in the long run,”

To find out more visit midlandpallettrucks.com/.