SME confidence dips in September quarter
Confidence among small to medium businesses dropped this quarter, rebalancing from a five year high last quarter, according to a business index.
The Sensis Business Index survey which reflects the views of 1000 small and medium businesses indicated that confidence had dropped from a net balance score of 38, down from 44 in the previous survey.
Despite the dip, however, the net balance score of +38 points is still 11 points higher than the same time last year.
Tasmania, Queensland and South Australia all saw increases in confidence while NSW, ACT, Victoria, the NT and WA all saw decreases in confidence.
Sensis chief executive John Allan said the national figures tell a positive overall, “but belie the turmoil some locations are experiencing with Western Australia (+10), and the Northern Territory (+9) both languishing well below the national average”.
“Tasmania recorded the most improved score with a 22 point jump thanks to improved business conditions, while Victoria suffered a drop of 15 points to sit below the national average with declining sales and increased cost pressures impacting business confidence,” said Mr Allan.
“Overall, the businesses feeling positive had strong beliefs in their own business strengths and identified with being an established, solid business while those who are worried cited decreasing sales and an unfavourable business, economic or industrial environment.”