UK wages are said to be rising at their fastest pace for six years but what does this mean for SME businesses?
The UK economy at present is something of a mixed picture. On the one hand unemployment has risen while employment and wage growth are rising. It might sound strange that employment can rise while unemployment also increases yet there will be some areas hidden within the statistics which explain why this is the case including more people taking part time jobs and so on.
The big news from a business perspective however is the rapid growth in wages. As competition heats up for the best qualified staff it is inevitable that wages will be pushed up in some sectors and this can happen even if that sector is not doing so well such as the construction and manufacturing sectors – the latter feeling the ill effects of a strong pound.
Higher wages are likely to put a strain on businesses at a time when bank lending is constrained. If your business has been hit by a higher wage bill and the need to keep cash flow going why not consider asset finance? Our experts are on hand to guide you through the simple process of using your existing assets to consolidate your business.