Research report: Business in the Thames Valley in the midst of COVID-19

At Wilson Partners, we recently conducted some research to gauge the impact the COVID-19 measures have had on our client base since they were introduced in March 2020. Our client base consists of approx. 500 ambitious, owner managed businesses, largely SMEs, headquartered in the Thames Valley with 5 to 150 employees. We’ve set out to understand what action businesses have taken, intend to take and how they see the year ahead.

What did we learn?
Well, unsurprisingly COVID-19 and the lockdown measures have had a polarising effect across business. Whilst some have seen their sales fall off a cliff due to exposure to certain sectors such as retail or hospitality, others with exposure to more buoyant sectors have seen their sales increase. We also know, talking to a number of clients, that quick reactions meant they were able to shift their market focus and have been able to maintain, or even grow, turnover in completely new markets. The coming months are crucial in determining what the longer term prospects look like for businesses. Careful planning and some difficult decisions will be needed over the coming months, particularly with the Government’s support for the Coronavirus Job Retention Scheme scheduled to finish at the end of October.

Having the right financial information, and looking at different scenarios, is critical to ensure businesses are empowered to make informed decisions and maximise their chances of accelerating out of the crisis. The avoidance of a second wave and a return to tighter lockdown restrictions will be critical for the medium and long-term impact on the economy at large. Whilst survival is top of the agenda for many businesses, it would appear to be the year of the hustler.

The stand out numbers
As mentioned earlier COVID-19 has had a polarising effect, whilst with all economic crises there comes opportunity it’s evident in the range of the confidence rating between 22 and 100 just how fragmented business has been. On balance, the overall confidence rating of 57 is probably not unrealistic. Clearly businesses have been conserving cash, given that 40% of respondents expect turnover to be the same or increase, 60% have taken a pay cut. That looks like good housekeeping in order to protect cash through turbulent times..

50% have furloughed staff, whilst 40% are not expecting their payroll to look any different.

All this information and more is in our report, which you can download here.

Helping our clients make rational, measured decisions with clearly articulated information has been at the heart of our own response and we continue to be here for those clients who need us. We hope that the data in our latest research is a useful addition to your planning for the weeks and months ahead.