UK business owners remain bullish on growth despite Budget concerns and economic uncertainty

S&W's latest The Business Owners Sentiment Survey (The BOSS Report), found that 94% of business owners surveyed expect their business to grow over the next 12 months, with more than half (52%) anticipating significant growth and a further 42% expecting modest growth. The survey was conducted among 500 business owners at companies with annual turnovers ranging from £500m or more down to £5m.

That optimism is particularly notable given the concerns business owners have expressed ahead of the Autumn Budget. Research released by S&W last week in advance of the full BOSS report found that six in ten1 business owners surveyed believe higher Capital Gains Tax rates would deter them from new business creation, while 54%* would consider moving their business abroad if taxes increase further.

Despite these concerns, confidence remains resilient. The research found that 57%* of business owners surveyed believe the UK is a more attractive place to start, grow and own a business than it was a year ago.

The findings are consistent with recent results from Make UK's Manufacturing Outlook Q3 2026, produced in partnership with S&W, which found manufacturing confidence improving for the first time in more than a year alongside growth in orders and investment despite a challenging economic backdrop.

While confidence is strong, The BOSS Report reveals that business owners remain alert to a range of challenges. Business rates were identified as the biggest threat organisations are currently facing (28%), ahead of global political uncertainty (26%), corporation tax rates (26%), higher employment costs (25%), rising raw material and goods costs (24%) and labour and skills shortages (24%).

The survey also found strong support for greater local decision-making, with more than two-thirds (68%*) surveyed saying that giving regional and local government greater control over local taxes would make businesses more likely to invest, expand or create jobs in their area.

Schellion Horn, Head of Economic Advisory at S&W, said:

"Despite ongoing geo-political and economic uncertainty and what this means for operations alongside the prospect of tax rises in the Autumn Budget, business owners remain remarkably bullish about their prospects. Our latest research reveals that almost all expect their business to grow over the next year, while a clear majority believe the UK is becoming a more attractive place to start, grow and own a business.

"That optimism reflects what we're seeing more widely across the economy, with productivity improvements, increasing business confidence and investment intentions despite a challenging backdrop. Businesses clearly want to invest, expand and create jobs, but they need a policy environment that supports those ambitions."

Claire Burden, Head of Advisory and Consulting at S&W, added:

"Business owners are optimistic, but they are not complacent. Higher employment costs, economic uncertainty and ongoing inflationary pressures mean businesses continue to face significant challenges.

"The businesses that succeed will be those that continually improve productivity, embrace new technologies and remain disciplined about managing costs. In the current environment, business owners need to be proactive in adapting their business models and preparing for the challenges ahead."

ENDS

*‘Strongly agree’ and ‘Somewhat agree’ responses combined

The research was conducted by Censuswide, among a sample of 500 UK Business Owners (Businesses with a turnover of £5m+). The data was collected between 11 August 2026 and 24 August 2026. Censuswide is a member of the Market Research Society (MRS) and the British Polling Council (BPC), and a signatory of the Global Data Quality Pledge. Censuswide adheres to the MRS Code of Conduct and ESOMAR principles.