Latest survey by Confederation of British Industry and accounting firm, PricewaterhouseCoopers (CBI/PwC) has reflected that optimism about the business outlook among Britain’s financial services companies at its fastest rate of gloom since the 2008 financial crisis as concerns about the country’s exit from the European Union (EU) heighten.
The survey, which was conducted on Monday, indicated that business volumes among the 84 top financial companies covered had also fallen at their fastest rate since September 2012.
A news report by Reuters also showed that mounting gloom from banks, insurers, fund managers and other financial companies came as the Prime Minister, Theresa May, continues the battles to get her twice-rejected withdrawal agreement with the EU through a bitterly divided parliament.
A further analysis of the survey findings showed that the investment management industry suffered the sharpest fall in growth, as investors held on to their cash in turbulent markets, while insurance brokers were the lone bright spot.
Commenting on the report, CBI chief economist, Rain Newton-Smith, said: “The alarm bells ringing at the state of optimism in the financial services sector have now reached a deafening level.”
The poll reflected that employment across financial services fell at the quickest pace in four years, driven mainly by job cuts in the banking sector as lenders slash branch networks and shift jobs overseas to trim costs.
