Overseas sales for most small and medium-sized exporters are flatlining, with 52% having seen no change in sales and 21% reporting a decrease.
The figures come from the Trade Confidence Outlook for the second quarter (Q2) of 2024, a survey of just under 2000 UK SME exporters carried out by the British Chambers of Commerce’s (BCC’s) Insights Unit.
This shows that the percentage of SME exporters reporting increased exports has been broadly static since the pandemic, with a slight 3% rise in Q2. Overall, 27% of SME exporters reported an increase in export sales, while 52% reported no change, and 21% reported a decrease.
SMEs are now more likely to report decreased exports compared to before the pandemic and Brexit, the BCC noted.
By contrast, domestic demand for SME exporters remains consistently more buoyant, with 37% reporting an increase in domestic sales in Q2 2024, against 27% for overseas sales.
One positive note is struck by SME manufacturers, with 31% reporting an increase in exports. This compares to SME services exporters supplying end customers (B2C), where 25% saw an increase, while 24% of firms supplying services to other businesses (B2B) saw a rise.
BCC Head of Trade Policy, William Bain, said: “Our research shows the Government will have its work cut out in trying to revitalise UK exports, as they continue to underperform.”
However, he went on, it has already taken some steps to help firms turn a corner. This includes its trade strategy announcement, restarting trade negotiations in vital markets, joining the World Trade Organisation’s (WTO’s) E-commerce agreement and committing to improving the UK’s relationship with the EU.
Annotate
