Two-thirds of businesses 'have a cash surplus' for 2017, survey suggests

27 Sep

A survey carried out by the Institute of Chartered Accountants in England and Wales (ICAEW) has suggested that two-thirds of businesses in the UK have a cash surplus for 2017.

The Institute found that 37% of UK businesses have neglected to invest their funds, or haven’t considered investing their surplus in the coming 12 months.

Amongst the reasons given for non-investment was a need for ‘greater flexibility’, a significant level of business uncertainty and a lack of opportunity.

Businesses who did make use of their cash surplus opted to reinvest in IT infrastructure, training and development and new technology.

Michael Izza, Chief Executive of the ICAEW, commented: ‘Businesses are in no rush to make major capital investments at the moment and this is reflected in the amount of cash they are hoarding.

‘But businesses should be investing now for the future and not for austerity.

‘Without this investment, growth will continue to slow, especially as we can no longer rely on consumers to keep spending at the rate they were.’ 

acca logo


We are registered as auditors and regulated for a range of investment business activities in the United Kingdom by the Association of Chartered Certified Accountants – the global body for professional accountants.


Register to receive our monthly Newswire once a month and we'll send you an email packed full of essential business news and handy tax tips to help save you money.