Statistics Jersey have today published the latest results from the Business Tendency Survey.
This quarterly survey provides timely, qualitative information about the Island’s economy. Chief executives and managing directors are asked for their opinions on the current situation of their business compared to three months earlier and their expectations for the next three months.
Business activity indicator
- the headline all-sector business activity indicator was neutral, at +3 percentage points (pp); this means the proportion of businesses that reported an increase was 3 pp higher than those that reported a decrease
- the business activity indicator was moderately positive for the finance sector (+19 pp) and was neutral for the non-finance sector (-3 pp)
- the business activity indicator was essentially unchanged from the previous quarter for all sectors and finance, and decreased moderately for non-finance
Current indicators
- one of the eight current indicators was extremely negative (input costs), one was strongly negative (profitability), and one indicator was strongly positive (product prices)
- the overall picture was more negative than last quarter; two current indicators decreased, and there were no quarterly increases
Current situation: COVID-19
- the turnover indicator was neutral at +1 pp, which is essentially unchanged from the previous quarter
- the actively working indicator was neutral at -5 pp which was essentially unchanged from the previous quarter
- in the last three months, 50% of businesses had taken some additional workforce measures in response to COVID-19, with the most cited measure in this quarter being increased working hours
Outlook for next quarter – the three months to March 2022
- the outlook for future business activity was moderately positive (+10 pp) overall
- the indicator balance was strongly positive for finance (+39 pp) and neutral for non finance (0 pp)
- the overall future employment outlook was moderately positive (+20 pp)
- the indicator was strongly positive for finance (+49 pp) and moderately positive for non finance (+10 pp)
2022 – Finance sector expectations
- the employment expectations indicator for 2022 was extremely positive (+57 pp)
- the balance for this indicator showed an extremely positive annual increase of 52 pp
- the profit expectations indicator for 2022 was extremely positive (+70 pp); 74% of finance companies anticipated an increase in profits in 2022, compared to 5% that anticipated a decrease; showing a strongly positive turnaround from twelve months ago
- the balance for this indicator showed an extremely positive annual increase of 55 pp