UK SMEs faced a variety of challenges in Q3, but the biggest challenge was increased competition from other firms (16%).
This was also the biggest challenge for those in the services, transport and wholesale sectors.
Other challenges included lack of domestic demand (13%) and late payment from customers (13%).
Of those investing in the next three months, 11 per cent stated that a ‘lack of domestic demand’ is their biggest challenge. This suggests that a segment of SMEs is tactically spending to seek out new sources of growth.