CMI: Managers have no confidence in Coalition policy
Managers and leaders believe that the Government's austerity programme is having a negative impact on their organisation.
That was one of a number of findings in a study released today by the Chartered Management Institute, which shows that almost one in five (19 per cent) leaders have no confidence in the Government's economic policy.
The report, The Economic Outlook, surveys managers up to CEO levels every six months about how the economic situation is affecting business. The latest study revealed increasing levels of concern when it comes to issues including access to finance and barriers to growth.
According to the research, numerous managers are not convinced that debt reduction measures are working, with 65 per cent telling CMI they expect the amount owed by the public purse to increase over the next 12 months.
The majority of bosses feel, however, that the Coalition has an important role to play in improving their current lot - 69 per cent reject the idea that the Government can do little to affect their organisations' circumstances. Top of bosses' policy priorities was simplification of the tax system, backed by 89 per cent of respondents. Skills development was also high on the agenda - 85 per cent called for tax breaks for investment in skills and 70 per cent believe employers should be given more control over this investment.
CMI's chief executive, Ann Francke, said: "Getting Britain back on its feet requires measures to boost management confidence. We need commitment to a wide range of complementary measures, spanning everything from education and training to fiscal and monetary policy.
"Everyone knows things continue to be tough for British business and today's report shows that those steering firms through the recession are crying out for support. Organisations that invest effectively in management and leadership development perform better, so it's no surprise that measures to help them do this are near the top of employers' wish lists."
In line with managers' concerns about access to finance, 86 per cent said the Government should urgently stimulate bank lending to businesses while, at a time of rising youth unemployment, 81 per cent want apprenticeship funding to be increased.
"At the halfway point of the Coalition's five-year term, a worrying number of measures of economic health appear to be stagnating or worsening. Those on the ground trying to make their businesses work are still under pressure to cut costs, still insecure in their own jobs and still don't see things changing any time soon," Francke concluded.