According to research from Dext, a leading bookkeeping automation platform provider, one-third (33%) of the UK’s small- and medium-sized business (SMB) owners are losing sleep over paying staff. Ahead of speculated tax hikes from this month’s Spring Statement and employment costs set to rise in April following the Autumn Budget, the figures reveal the alarming extent of financial strain on SMB owners as they navigate the potential hit on their profits and cash flow.
The data, which features survey responses from more than 500 UK SMB owners as well as 100 accountants and bookkeepers, ranks rising salary costs (43%) and tax liabilities (39%) in the top five worries for SMB owners’ cash flow. With nearly two-thirds (61%) of entrepreneurs citing cash flow issues as a source of significant stress, it is resulting in nearly half (44%) of SMB owners being kept up at night, highlighting the increasing pressure on SMBs in the current financial climate.
