Business confidence in the United Kingdom sank to a four-year low following the British citizens’ decision to leave the European Union, a Lloyds Bank report revealed.
Expectations of growing sales, orders and profit fell from 38 percent in January to only 12 percent in September, the Business in Britain report said. The greatest 30-percent decrease in confidence was registered in services, the bank’s survey showed. “The EU referendum vote has introduced a level of uncertainty for companies as the UK decides on the best model for its future relationship with the EU, and this is likely to continue for the foreseeable future. Whilst sentiment has fallen to a four-year low, it remains well above the lows reached during the global financial crisis of 2008-9,” Tim Hinton, the managing director at Lloyds Bank, was quoted as saying in the report.
On June 23, the United Kingdom held a referendum to determine whether or not the country should leave the European Union. According to the final results, 51.9 percent of voters, or 17.4 million people, decided to support Brexit, while about 16.1 million opposed it. UK Chancellor of the Exchequer George Osborne said earlier in September that the Brexit decision had impacted the national economy, forcing companies to cut back on investments.